Canada’s Q2 GDP Accelerates to 3.3% Annualized, Signaling Economic Rebound

• Canada’s Q2 GDP grew 3.3% annualized, 0.8% QoQ.
• Growth slightly missed 3.4% annualized forecast.
• Signals strong rebound from year-long slump.

Canada’s real Gross Domestic Product (GDP) accelerated to an annualized rate of 3.3% in the second quarter, following a 0.8% quarter-over-quarter expansion. This growth, while marking a significant rebound and the fastest pace in recent quarters, slightly missed market expectations of 3.4% annualized. The first quarter’s growth was also revised upward to 0.1% QoQ from an initial estimate of 0%. This economic acceleration signals a recovery from a year-long slump, which had been attributed to factors including US tariffs and a slowdown in immigration. Additionally, monthly GDP data for June showed a 0.3% increase, maintaining the prior month’s pace and surpassing forecasts.