Canada's Economic Growth Stalls in July Amid Tariff Uncertainty

Canada's economic growth stalled in July as the country's GDP remained flat for the month. The slowdown marked a slower start to the third quarter, which had seen three consecutive months of expansion.

The decline was led by manufacturing, which fell 0.9% and petroleum refineries output dropped 6.2%, offset by gains in construction and utilities sectors.

Statistics Canada estimates that the economy will rebound in August with a 0.2% growth rate, driven mainly by increased activity in mining, quarrying, and retail trade.

The Bank of Canada forecasts third-quarter annualized economic growth at 1.5%, indicating a continued but slower expansion.