Squamish Real Estate - Economic Update September 30, 2011
July Canadian Real GDP - September 30, 2011
The Canadian economy grew 0.3 per cent in July, quieting (at least for now) talk of a double dip recession. July's gain followed a similar rate of expansion in June and signals that the economy was growing at a roughly 2 per cent annual pace over the summer months. July's economic growth was lead by a strong rebound in the manufacturing sector. However, weakness in construction and retail sales may be a cause for concern in coming months.
Today's report is in line with our forecast of approximately 2 per cent growth in the second half of the year. That said, there remain serious, unresolved issues in the Euro-zone that continue to destroy confidence in financial markets and threaten to drag the global economy into another financial crisis. Given the heightened level of uncertainty, the Bank of Canada will remain sidelined until the current storm passes.
Copyright British Columbia Real Estate Association. Reprinted with permission
