Canadian Economy Sees Sharp Recovery in Q2

Canada's economy rebounded sharply in the second quarter, driven by increased exports and domestic investment. According to Statistics Canada data, the economy grew at an annualized rate of 3.3 per cent in the second quarter.

The data showed that exports rose 3.6 per cent, largely due to higher auto exports. Residential investment also contributed to the growth, as did business capital investment, which snapped a five-quarter streak of decline by increasing 2.3 per cent in the second quarter.

Investments in computers and peripherals jumped 16.7 per cent, attributed to the processing units used in data centres. Corporate incomes rose, primarily due to the energy sector, although the high cost of gas had a negative impact on manufacturing firms' earnings.