The Canadian economy is experiencing a slowdown

Slowing GDP growth in Canada has put pressure on the Bank of Canada to consider cutting interest rates in June. According to Statistics Canada, the economy grew by 0.2% in February, lower than both analyst expectations and the agency’s previous estimate. This slower growth has raised concerns about the overall economic health of the country.

The transportation and warehousing sectors saw growth, with rail transportation increasing by 5.5% and air transportation by 4.8%. However, the manufacturing sector experienced a decline of 0.4%, primarily due to decreases in transportation equipment and chemical products.

The resource extraction sector, including oil and gas, oilsands, and mining, saw a 2.5% increase in February. Gold and silver ore mining also rose by 4.4%, coinciding with record-high exports of gold.

Economists are closely watching inflation data to determine the Bank of Canada’s next steps. If inflation remains low, there is a possibility of interest rate cuts in June to stimulate economic growth.

Overall, the Canadian economy is facing challenges, and the Bank of Canada will need to carefully consider its monetary policy decisions in the coming months to support economic recovery.