The first look at how Canadian gross domestic product is shaping up in the third quarter:
- Previously June GDP contracted 0.5% (no revisions)
- In year-over-year terms, GDP rose 1.4%
- Prior year-over-year reading revised higher to 1.1% from 0.9%
Canadian GDP y/y is still showing a ‘new normal’ sort-of trend but it has stopped decelerating.
BOC Gov Poloz is banking on a resumption of +2.5% growth next year as the US rebounds and companies invest. He may have overestimated Congress.
USD/CAD fell to a session low just before the data. The move wouldn’t be related to the results, this number is far too laggy and StatsCan keeps the numbers under a solid lockdown. Flows are in charge here.
