UPDATE 1-Canada growth edges up 0.1 pct, paves way for weak Q2

Thu Jun 30, 2016 8:54am EDT
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article
[-] Text [+]

(Adds details of release, background)

OTTAWA, June 30 (Reuters) - The Canadian economy grew by just 0.1 percent in April from March, Statistics Canada said on Thursday, paving the way for a sickly second quarter on the back of the devastation caused by major Alberta wildfires.

The advance - the first in three months - matched the forecast in a Reuters poll of analysts.

The Bank of Canada, citing the damage the fires did to the energy sector, said on June 15 that growth was likely to be flat or slightly negative in the second quarter before an outsized recovery took hold in the third quarter.

Manufacturing output in April rose by 0.4 percent after two consecutive monthly decreases, pushed higher by growth in non-durable goods manufacturing.

The utilities and the public sectors also posted increases but they were largely offset by a 7.3 percent decline in the output of oil sands plants. This was largely the result of maintenance shutdowns at upgrader facilities.

(Reporting by David Ljunggren; Editing by Nick Zieminski)