Canadian Economy Expands 0.8% on Export Rebound and Business Investment Growth

Canada's economy expanded by 0.8% in the second quarter, thanks to rebounds in exports and business investment.

The growth was driven by a 3.6% increase in exports, which was led by a 27% jump in passenger car and light truck sales, coinciding with a recovery in Canadian auto production after two consecutive quarterly declines.

Residential investment also rose 2.5% in the second quarter, with ownership transfer costs increasing the most in Ontario, Quebec, and British Columbia, while new construction rose 0.8%, led by work on apartments in B.C.