Canada July 2021 GDP
US Canada GDP for July came in at -0.1 versus -0.2 estimate. That is at down from 0.6% in June (revised from +0.7%). The July level was approximately 2% below the pre-pandemic level of the February 2020.
Below is a look at the main industry sectors contributions to the percentage change in gross domestic product for the month.
Accommodation food services added 0.2%. Agricultural and forestry, utilities, manufacturing, and wholesale also attracted -0.1%.
- prior report was revised to 0.6% from 0.7% previously reported
- 13 of 20 industrial sectors were up led by accommodation and food services. The gains however were offset by declines in agriculture, utilities, manufacturing and wholesale trade
- The good news is that the preliminary information indicates a 0.7% increase in real GDP for August. This estimate will be revised on October 29
- service producing +0.4%
- goods producing -1.4%
- food services rose 12.5%. The second double digit growth in a row
- accommodation services rose 21.1% July as domestic and international travel both rose
- transportation warehouse group 1.1% versus 0.8% June with growth in air transportation leading the way
- agricultural, forestry, fishing, and hunting dropped -5.5% as record-setting heat and drought conditions in Western Canada affected national annual crop production estimates. Crop production felt -13.2% in July and reached its lowest level since the fall of 2007 Forster was down -3.9% on the back of a forest fires in British Columbia is interior and in Northwestern Ontario
- utilities felt -4.9% after a 3.6% gain in June.
- Manufacturing fell -1.1% driven by declines and durable goods manufacturing which felt -1.9% (the third decline in four months)
- construction fell -0.9% for its third consecutive monthly decline
- wholesale trade fell -1.9% for its fourth month decline in a row
- public-sector rose 0.4%
- retail trade felt -1.1% food and beverage stores -3.3% and building material and garden equipment and supply dealers -6.5% leading the way to the downside
The good news is that the expectations for August is for a advance and that the decline was at a touch less than expectations.
The USDCAD is higher with the price up from 1.2670 to a high of 1.2697. In the process the price has moved back above its 100 hour moving average 1.26858, but stays below its 200 hour moving average 1.2703.
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