Real-Time Local Business Conditions, July 18 to July 24, 2022

The Real-time Local Business Conditions Index is released as an experimental statistic to measure business activity in real time during the COVID-19 pandemic and beyond.  A rising index reflects improving business conditions in an urban centre, while a declining index signals deteriorating business conditions.

The Index has three components that combine alternative data sources with Statistics Canada’s data holdings: the first is a static component to measure the economic size of a business district at the local level; the second tracks operating conditions of the businesses in a given area; and the third measures the level of business activity in the area using road traffic data.

Here are the updates for major Canadian cities for July:

Date Calgary Montreal Toronto
2022-07-11 263.40 197.73 183.48
2022-07-18 264.61 195.32 193.21
2022-07-25 267.09 240.18 202.53

To view additional cities and data, visit the Statistics Canada website.

Source: Statistics Canada 

Gross Domestic Product by Industry, May 2022

Real gross domestic product (GDP) was essentially unchanged in May, following a 0.3% expansion in April. Growth in services-producing industries (0.4%) was offset by a decline in goods-producing industries (-1.0%), as 14 of 20 industrial sectors increased in May.

Advance information indicates that real GDP increased 0.1% in June as output was up in the construction, manufacturing, and accommodation and food services sectors. Decreases were recorded in the mining, quarrying and oil and gas extraction sector, in the finance and insurance sector, and in the professional, scientific and technical services sector. On a quarterly basis, this advance information for real GDP by industry indicates a 1.1% increase in the second quarter of 2022. Owing to their preliminary nature, these estimates will be updated on August 31 with the release of the official GDP data for June and the second quarter of 2022.

Transportation takes off

The transportation and warehousing sector rose 1.9% in May, up for the fourth month in a row. This is the first time since the series started in 1997 that the sector increased at such a rate or higher for four consecutive months. The sector was nevertheless about 7% below its February 2020 pre-COVID-19 pandemic level.

Air transportation contributed the most to the growth in the sector, rising 14.1% in May. This third consecutive double-digit monthly growth was driven by higher movements of cargo and passengers.

Urban transit systems rose 8.9% in May, following a 10.8% expansion in April. An atypical increase in ridership in May contributed to the growth of urban transit systems as many commuters continued returning to in-person work.

Rail transportation rose 2.3% in May, driven by higher rail movement of forestry products, metals and minerals and grains.

Manufacturing down for the first time in eight months

The manufacturing sector contracted 1.7% in May following seven months of growth, as both durable-goods and non-durable goods manufacturing posted declines.

Durable goods manufacturing decreased 1.7% in May, its first drop since September 2021, as contractions in motor vehicle and miscellaneous manufacturing more than offset gains in 6 of 10 subsectors.

Non-durable goods manufacturing was down 1.7% in May, as five of nine subsectors contracted. Contributing the most to the decline were chemical manufacturing (-3.4%) and petroleum and coal products manufacturing (-3.9%). Moreover, plastics and rubber products manufacturing (-4.6%) was down partly due to lower demand from motor vehicle and motor vehicle parts manufacturers.

Wholesale rises for the first time in four months

The wholesale trade sector rose 0.7% in May, following three consecutive months of decline, led by gains concentrated in food, beverage and tobacco, machinery, equipment and supplies, along with motor vehicle and motor vehicle parts. 

Source: Statistics Canada