Trade Deficit Declines in July

CBJ — Canada’s international trade deficit narrowed to $2.5 billion in July as Canada shipped more goods to the U.S. and abroad.

By all accounts July’s trade performance was better than most analysts had predicted.

Statistics Canada also reported that June’s GDP grew by a better than expected 0.6%.

The Bank of Canada expects annualized third-quarter growth of 3.5%.

Meanwhile south of the border the U.S. Labour Department reported that the American economy added a modest 151,000 jobs in August, leading to speculation that the Federal Reserve will be less likely to raise interest rates later this month. However, most of the jobs were added in the lower paying retail sector, while better paying manufacturing jobs were down by about 14,000 nationwide.