Behind the Headlines October, 2007

Article Excerpt

The Canadian economy grew 0.2% in July to a seasonally adjusted $1.12 trillion. That puts the economy on track for steady growth of between 2.5% and 3% in the third quarter. Wholesale trade jumped 2.3% in July, the largest monthly increase recorded since a 4.4% gain in March 2004. The wholesale trade increase came from a sharp rise in motor vehicle sales (including parts), combined with significant increases in sales of machinery and equipment and of personal and household products. These gains were offset slightly by declines in the wholesaling of food and farm products. The Canadian energy sector fell 1.3% cent in July, due to lower natural gas and crude oil extraction. Demand for electricity and natural gas from domestic and foreign consumers contracted partly because of the unfavourable July weather. There was also enough natural gas in storage to satisfy demand. However, oil and gas exploration jumped 12.9%. That was the segment’s second consecutive monthly increase after four months of significant declines. Construction increased…