The Canadian economy grew by 0.3 percent in August spurred by higher oil production as reported by Statistic Canada.
GDP on a seasonally adjusted monthly basis rose for a third straight month, beating estimates of a 0.2 percent growth. July’s figure was also revised up to 0.4 percent from an initial 0.3 percent.
Gross domestic product on a year-on-year basis also increased and grew 2.4 percent in August from the same month a year earlier.
Canada seems to have not been affected by the market turmoil stemming from a deepening of Europe’s debt crisis and US debt downgrade by Standard and Poor’s in August. In fact growth in Canada resumed in the third quarter after shrinking in the April-to-June period.
Energy output gained 2.8 percent in August, the third straight rise, as the industry rebounded from an earlier decline that resulted from poor weather conditions in western Canada. Excluding energy, Canada’s real GDP was unchanged in August, the statistics agency said.
Increased output by financial companies also contributed to the rise in GDP. The finance and insurance sector rose 1.4 percent in August, partly due to higher stock trading volume, the agency said. Other industries recording gains were construction and retail trade.