Canada's GDP Falls

Canada's gross domestic product fell for the seventh month in a row, down 0.1% in February, driven lower by declines in mining and construction activities., Financial Post 4/30/2009 6:55:23 AM

After falling 0.7% in January, the country's economic output could be headed for its biggest quarterly decline since 1961, according to Bank of Canada estimates that tag the potential decline at 7.3% on an annualized basis.

The Canadian figures come hard on the heels of news out of the U.S. Wednesday showing its economy plunged at an annualized 6.1% in the first quarter after falling 6.3% in the last three months of 2008, the worst performance in five decades.

On a year-over-year basis, Canada's economic output has now fallen 2.4% to $1.2-trillion, Statistics Canada reported.

February's loss, which was in line with economists' estimates, was mitigated by a 19% rise in motor vehicle and parts manufacturing.

Wholesale and retail trade and several other manufacturing groups also fell, Statistics Canada said, while oil and gas extraction and some tourism-related industries advanced.