July 31, 2009

Canada’s GDP down in May

The decline in Canada's gross domestic product accelerated on a monthly basis by 0.5 percent in May, the Statistics Canada agency reported Friday.

Canada's GDP has been in slow decline for the past three months and May's dip was the deepest during that time, the report said.

The energy and manufacturing sectors were the main contributors to May's decline, StatsCan said. Construction and wholesale trade also decreased.

The output of the energy sector dropped 2.3 percent in May, and electricity generation, the distribution of natural gas and pipeline transportation were also down, the report said.

The manufacturing sector was down 1.6 percent, half of which was due to a 21 percent drop in motor vehicle manufacturing, the report said.

Retail trade was up 0.6 percent in May, while wholesaling activities decreased 0.4 percent in May.

The home resale market continued to show upward momentum in May, leading to an 8.2 percent increase in the output of real estate agents and brokers, the agency said.