Canada's Economy Bounces Back in Q2

Canada's economy is showing signs of a robust rebound in the second quarter, according to early data from Statistics Canada. The country's real GDP rose 0.3 per cent in May, exceeding StatCan's initial estimate of 0.1 per cent growth.

The growth was broad-based across both goods and services sectors, with oil and gas extraction and a resurgent housing market contributing significantly to the increase.

Andrew Grantham, senior economist at CIBC, noted that these sectors were recovering from temporary drags in the first quarter. He also attributed some of the growth to hiring for the census and FIFA World Cup games in June.

However, not all economists are optimistic about the future. BMO chief economist Doug Porter expects growth to moderate in the second half of the year due to high fuel costs and U.S. President Donald Trump's latest tariff threat against Canada.