Canada November GDP +0.2% vs +0.1% expected

<ul><li><a href="https://www.forexlive.com/news/canada-october-gdp-mom-00-versus-02-expected-20231222/" target="_blank" rel="follow">Prior </a>was 0.0%</li><li>The advance reading for November was +0.1%</li><li>Service producing industries +0.1% vs +0.1% prior</li><li>Goods producing industries +0.6% vs 0.0% prior</li><li>December advanced reading +0.3%</li><li>Prelim Q4 estimate +0.3%</li><li>Prelim 2023 estimate +1.5%</li></ul><p>Non-durable goods manufacturing increased 1.2% in November, the largest monthly gain since May 2023, as all but three subsectors contributed to the growth in November. The chemical manufacturing subsector led the increase with a 1.9% expansion in November as a number of petrochemical plants continued ramping up production following maintenance-related shutdowns in the third quarter. </p><p>Also helping was the reopening of auto factories after the strikes/shutdowns in October.</p><p>The Canadian dollar has strengthened on these numbers, particularly the December advanced reading which was boosted by manufacturing, real estate, mining and energy.</p><p>These numbers should dissuade the Bank of Canada from cutting rates this quarter. We might now be waiting until June for the first cut.</p><p>Much of the angst in Canada right now is about population growth as the lone driver of GDP growth:</p>

This article was written by Adam Button at www.forexlive.com.