Canadian economy bounces back 4.5% in May according to Stats Canada

OTTAWA – Statistics Canada says the economy grew by 4.5% in May as businesses began to reopen after severe lock-downs of March and April.

The average economist estimate was for a 3.5% increase in gross domestic product for May, according to financial data firm Refinitiv.

The national data agency says rebounds in May were seen across multiple industries with the easing of COVID-19 restrictions, including retail trade that registered a 16.4 per cent bump to mark its largest monthly increase since comparable readings began in 1961.

In a flash estimate for June, the agency says the economy continued to grow at a rate of 5%.

Despite the two months of growth after two months of negative readings, Statistics Canada’s preliminary estimate is that economic output contracted by 12% in the second quarter.

The June and second quarter figures will be finalized late next month.

(The Canadian Press)

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