Canada Economic Forecast

Canada Economic Forecast

December 20, 2018

The economy lost momentum in the third quarter of the year, with the quarter-on-quarter SAAR expansion decelerating notably from the second quarter. The slowdown came on the back of a near halving in private consumption growth as consumers held back their spending on durable goods. Moreover, government consumption slowed in Q3, while fixed investment decreased at the fastest pace in nearly two years, driven by lower business investment. The economy’s bright spot came from the external sector, which delivered the largest contribution to the headline reading in just under two years. However, this was only due to a significant decrease in imports. Turning to the fourth quarter, recent data appears more encouraging. The PMI reading for the private sector remained well in expansionary territory in November, and, in the same month, the unemployment rate fell to the lowest level since the present-day records began in 1976.

Canada Economic Growth

Economic growth is expected to continue moderating next year. Rising interest rates and slower job growth could dampen household spending and residential investment. With that said, the USMCA will reduce uncertainty surrounding trade with the U.S. and, in turn, support mainstay export industries. Met the why particular panelists estimate growth of 2.0% in 2019, unchanged from last month’s forecast, and 1.8% in 2020.

Sample Report

5 years of Canada economic forecasts for more than 30 economic indicators.

Download

Sample Report

Get a sample report showing our regional, country and commodities data and analysis.

Download

Canada Facts

ValueChangeDate
Bond Yield2.031.00 %Jan 18
Exchange Rate1.330.15 %Jan 21
Stock Market15,3540.23 %Jan 21

Start Your Free Trial

Start working with the reports used by the world’s major financial institutions, multinational enterprises & government agencies now. Click on the button below to get started.

Sign Up

Canada Economic News

Search form