"Manufacturing was a particular area of strength, but this comes after several months of disappointments"
- TD Bank economist Sonya Gulati
Canadian economy returned to growth in the first month of 2013, however, the growth may remain tepid in the coming months, the Statistics Canada said Thursday. The nation's gross domestic product expanded by 0.2% in January, a turnaround after a decline of the same amount in December. A report also showed that manufacturing, mining and the oil and gas industry all expanded, while the agriculture forestry and construction sectors shrank. At the moment, the output at arts and entertainment industry rebounded by an impressive 4.1% in January. The increase was mostly, provided by the end of the NHL lockout.
"While today's data suggest Q1 GDP could track somewhere in the neighbourhood of 1.5 per cent, an acceleration from the pace seen in prior quarters, that's still softer than the Bank of Canada's outlook," said CIBC economist Emanuella Enenajor.
"Manufacturing was a particular area of strength, but this comes after several months of disappointments," TD Bank economist Sonya Gulati said. "The sector has struggled to gain traction over the past year as global economic uncertainty has continued to dominate. Optimism about the health of the U.S. recovery is gaining momentum, but this will likely show up in the numbers in the second half of the year."
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