Real gross domestic product (GDP) edged up 0.1% in August, following a slight (+0.1%) increase in July. Growth in services-producing industries (+0.3%) was partially offset by a decline in goods-producing industries (-0.3%), as 14 of 20 industrial sectors increased in August.

Advance information indicates that real GDP increased 0.1% in September. Increases in the oil and gas extraction subsector, the manufacturing sector and the public sector were partially offset by declines in construction. Advance information for the third quarter indicates that real GDP increased 0.4%. Owing to their preliminary nature, these estimates will be updated on November 29 with the release of the official GDP data for September and the third quarter.

Services-producing industries recapture momentum, while output of goods contracts
Services-producing industries regained momentum in August following the first contraction in six months in July. Meanwhile, goods-producing industries were down, led by declines in manufacturing, oil and gas extraction, and construction activity.

Retail activity rebounds
The retail trade sector rose 1.2% in August, as 10 of 12 subsectors increased. This was a notable rebound from July when output fell back to its December 2021 level.

Wholesale trade grows following pull back
Wholesale trade grew 0.9% in August, up for the second time in seven months, as five of nine subsectors increased. Machinery, equipment and supplies wholesaling (+1.9%) contributed the most to the growth in August as three of four industries were up. Other machinery, equipment and supplies led the growth, as import levels have been elevated since the beginning of the year in support of the construction of a new liquefied natural gas terminal in British Columbia.

Building material and supplies merchant wholesalers recorded a notable increase, rising 2.6% in August. The increase in August largely offset a significant contraction in July.

Decreases in the farm product (-9.4%) and personal and household goods (-1.2%) merchant wholesalers subsectors tempered the overall growth in the wholesale trade sector.

Construction and Manufacturing decline again
The construction sector contracted for the fifth consecutive month, down 0.7% in August as all subsectors recorded decreases. While the manufacturing sector contracted 0.8% in August, the fourth decline in five months and the lowest output level since January 2022.

Source: Statistics Canada