Canada's GDP Growth Accelerates to 0.7% QoQ in Q3

Canadian GDP quickened in the third quarter of 2013 to its fastest pace in nearly two years. The GDP expanded 0.7 percent quarter-on-quarter, following a 0.4 percent growth in the previous three-month period, as household and government final consumption and business investment all increased.
Statistics Canada | Joana Taborda | 11/29/2013 1:48:59 PM
Final domestic demand rose 0.5 percent in the third quarter, as household and government final consumption expenditure and business gross fixed capital formation all increased.

Household final consumption expenditure advanced 0.6 percent, with increased expenditures on goods (+0.5 percent) and on services (+0.6 percent).

Business gross fixed capital formation increased 0.6 percent following 0.1 percent growth in the second quarter. Business investment in residential structures was up, as a decline in new home construction was more than offset by higher resale activity and renovations.

Business investment outlays on plant and equipment advanced 0.6 percent after declining 0.3 percent in the second quarter. Outlays on intellectual property products increased 0.8 percent.

Government final consumption expenditure edged up 0.1 percent in the third quarter.

Investment in farm inventories was up in the third quarter, with $4.1 billion worth of grains, livestock and other crops added to stocks. Business investment in non-farm inventories accelerated, as $5.2 billion of goods were added in the third quarter, compared with $2.7 billion in the previous quarter.

After three quarters of growth, exports fell 0.5 percent in the third quarter, with declines in exports of both goods (-0.5 percent) and services (-0.4 percent). Imports were down 0.3 percent, following a 0.3 percent increase in the second quarter.