Canada Economy Surpasses Expectations with 0.3% Growth in May

Canada's economy expanded by a greater-than-expected 0.3% in May, driven largely by growth in the mining, quarrying, and oil and gas sector.

The strength of this industry was especially notable, with a 1.0% increase in May alone, while the oil and gas extraction subsector rose 0.7% due to higher oil sands extraction.

According to official data from Statistics Canada, goods-producing industries expanded by 0.6%, while services-producing industries posted a more modest 0.2% gain.

The Bank of Canada had forecasted annualized second-quarter growth at 2.5%, but Statistics Canada's flash estimate puts it significantly higher at 3.4%.