Canada’s economy shrank much more than expected in the second quarter as U.S. tariffs squeezed exports, but higher household and government spending softened the blow somewhat, Statistics Canada said on Friday.
The GDP for the quarter that ended June 30 slowed by 1.6 per cent on an annualized basis, while first-quarter growth was downwardly revised to two per cent, the data agency said.s.
Eric Daugherty: United States GDP for Q2? +3.3%. Higher than expected. Maybe Canada should stop trying to go to economic war with President Trump.
To improve GDP, just hang FAT ford, and use chinese steel for the gallows.
NME666
Chinesse steel gallow would probably bend under his current weight. Seen him lately? He’s looking more like the Pillsbury Dough Boy these days.
bverwey
This abysmal economic performance could be the start of something much worse. There has been a good discussion in the dissident-conservative media of capital and educated labour fleeing to the U.S.:
https://betterdwelling.com/canadas-capital-flight-crisis-record-exit-by-foreign-domestic-investors/
For even more fun consider that government wages/salaries etc are counted as part of GDP. The assumption that these people produce is absurd, but, setting that aside, the real Canada/usa comparison is much worse than shown in the article – because all levels of Canadian Gov’t increased spending while state and federal expenditures in the US decreased. So not -2% vs +3.3 but closer to -3.5% vs +3.7% .
(I wonder too whether Cdn political pressure to adjust estimates upward matches the US bureaucracy’s incentives to get Trump’s numbers down.. )
And the dollar is still at U.S.$0.7281, which is just weird I tells ya.
Should be falling.
Noticed that too. This is a real head scratcher. I wonder if the ECB is in buying to prop up the Greatest Economist Ever (TM)
There is widespread expectation that US interest rates will fall much further and faster than Canada’s. Notice that mfg investment is moving south, but debt investment isn’t. (Yet).
This is just the start. And NO, it is not all the Orange Bad Man.
Wait until the Automakers’ Board of Directors say that this stupid EV mandate is destructive to their bottom line. The cost of moving and building a plant will be far less than the ongoing cost of doing business in canadugh. Plus, I believe all those CAPEX costs in the US can be immediately written off in the year they are spent saving even MORE.
Steel and aluminum are circling the drain. Forestry? God help those poor people that rely upon that for their livelihoods.
The only products that could possibly save the economy of canaduh are produced in Alberta and Saskatchewan and therefore must be destroyed at all costs. C69? C48? Emissions caps?
Sorry, these are all “own goals” and all evidence points to deliberate action rather than extreme incompetence.
Then just wait for Chief Heap Big Cheque to say, “hold my beer(s)”
We need to leave this feculent, syphilitic, corrupt garbage country (I need more adjectives!) before we are dragged down with it!
The “hinge joint” metaphor is sure getting tired.
The hinge moment is also dragging on.
Unhinged yet?
While the US GDP numbers look good at first blush, Martin Armstrong says the America numbers are misleading because they’re largely reflective of a collapse of imports and not true domestic growth:
https://www.armstrongeconomics.com/armstrongeconomics101/economics/misleading-q2-us-gdp-figure/
Increased government spending is absolutely not the answer, as demonstrated during the 4 years of the insane Biden administration. Slinging billions into secret slush funds to garner favor with insane enviro’s is destructive, not productive.
Silly, silly roaddog … that’s not deficit spending … it’s an “investment” in the Canadian people. /hard sarc.
Once voters understand what they are supporting, and demand change, then me may have a chance at a normal economy and good trade relations with the USA.
DEI and bible pounding causes are not winners, so STFU about them.
“Contraction was much larger than expected, but higher spending softened blow”
Ok so I’m curious, anyone here bracing for 15%? I think that’s well within reason and as to higher government spending, right now that’s like having a campfire in a drought with gale force winds. (Maybe they’ll understand that )
None of it affects boomers so who cares?