Signs that the Canadian economy is slowing are becoming more evident.
The latest is the monthly GDP figures for April which showed the national economy contracted by a tenth of point in the month. StatsCan is also projecting another tenth of a point decline in May in their early estimate.
The big factor in this is automotive manufacturing which is centered in Central Canada and no doubt a result of the uncertainty caused by tariffs.
In last Friday’s report, the federal agency said the service side of the economy – things such as finance, the arts or health care and government administration expanded a bit in April so this is not an across-the-board pull back. In fact, one thing that helped boost this sector was the strong performance by Canadian teams in the Stanley Cup playoffs.
Out West, where commodity production is a key element of our economy, things were pretty much unchanged. Declines in the value of energy of mineral production were offset by growth in the support sector which helps keep the mines and oilfields operating.
