GDP Down 0.1% in October
CBJ — Canada’s economy fell 0.1% in October, marking the first monthly decline since February.
Most economists had predicted a flat GDP for October compared with September.
A major factor in the decline was the biggest month-to-month decline in retail sales since March 2016 as well as substantial losses in wholesale sales and manufacturing.
Meanwhile, the Bank of Canada has kept its key overnight interest rate at 1.75% for the past 14 months. However, that may soon change, especially in light of the fact the U.S. Federal Reserve has imposed recent rate reductions as a means of kick-starting a sluggish economic performance over the past few months.
Jobs data from Statistics Canada also provided a shock to the economic system when it was revealed the nation lost 71,200 jobs in November, pushing up the national unemployment rate to just under 6% marking it’s highest level since August, 2018.