As consumer spending and business investment fell flat and the housing market cooled, Canada's economy slowed in the second quarter, Statistics Canada said Aug. 31. Gross domestic product (GDP) advanced 0.5%, following a robust 0.9%increase in the first quarter, the government agency said.
The economy grew at an annualized rate of 2% in the second quarter, "a sharp deceleration from the 3.6 percent pace set during the previous quarter," the agency said. Analysts had predicted a 2.3% growth pace.
Economic activity in June was "essentially unchanged" from May, as the production of goods declined, offsetting gains in service industries, Statistics Canada said.
Copyright Agence France-Presse, 2006