Canadian Economy Gathers Momentum In First Quarter 2011
2011-05-31 12:34:00
Canadian economy gathered momentum in the first quarter 2011 as investment in plant and equipment increased.
Real gross domestic product (GDP) advanced 1.0 percent in the first quarter, following a 0.8 percent increase in the previous quarter, according to Statistics Canada.
At an annualized rate, real GDP in the first quarter grew 3.9 percent, after expanding 3.1 percent in the fourth quarter 2010. Economists were expecting 4.0 percent growth in the quarter.
Business investment in plant and equipment advanced, for a fifth straight quarter, 3.2 percent, while investment in machinery and equipment rose 3.7 percent in the quarter.
Exports grew 1.6 percent in the first quarter, following a 2.1 percent increase in the fourth quarter of 2010. Imports rose 2.2 percent, after edging down 0.1 percent in the previous quarter. Goods production rose 1.8 percent while service-producing industries increased 0.7 percent.
Investment in housing rose 2.2 percent in the quarter, while consumer spending on goods and services was virtually unchanged in the first quarter, after increasing 1.1 percent in the fourth quarter of 2010.
On a monthly basis GDP recorded 0.30 percent growth in March, beating consensus estimates for a 0.2 percent increase.