BLBG: Canada Economy Shrank Less Than Expected in January on Oil Gain
(Bloomberg) -- Crude oil gave Canada’s economy a surprise cushion in January, with gross domestic product shrinking less than economists forecast.
Output shrank 0.1 percent to an annualized C$1.65 trillion ($1.30 trillion), Statistics Canada said today in Ottawa. The median forecast in a Bloomberg economist survey was for a 0.2 percent fall, with estimated declines ranging from 0.1 percent to 0.5 percent.
Crude oil and gas output rose 2.6 percent in January, after a 2.1 percent December fall, as oil sands producers completed maintenance work on some facilities, the statistics agency said.
Those gains were offset by a 2.6 percent drop in wholesaling and a 0.7 percent decline in manufacturing.
Today’s GDP report showed service industries posted declining output in January for the first month since February 2014, falling 0.3 percent. Production of goods rose 0.3 percent in January, led by higher oil output.
To contact the reporter on this story: Greg Quinn in Ottawa at gquinn1@bloomberg.net
To contact the editor responsible for this story: David Scanlan at dscanlan@bloomberg.net
