Canada's Trade Surplus Widest in Four Years Amid Weaker Loonie

Canada's trade surplus widened to $3.9 billion in June, its highest level in four years, due to a weaker Canadian dollar inflating the value of goods moving across the border.

The agency reported that Statistics Canada revised May's figure down from an initial $4.24 billion to $3.7 billion. The trade surplus climbed for the fourth straight month and was the widest since May 2022.

According to TD Economics economist Marc Ercolao, the June data should reinforce expectations of a GDP recovery. He noted that signals in trade remain noisy due to large swings in energy, autos, gold, and computer equipment-related flows.