Economists See Bank of Canada Holding on Rates After Surprise GDP Contraction

Economists See Bank of Canada Holding on Rates After Surprise GDP Contraction
Statistics Canada building and signs are pictured in Ottawa on July 3, 2019. The Canadian Press/Sean Kilpatrick
The Canadian Press
Updated:
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Economists say the latest GDP data from Statistics Canada showing a contraction in the economy suggests the Bank of Canada’s rate hiking campaign may be coming to an end.

The Canadian economy appeared to stall in the second quarter as investment in housing continued to fall, led by drop in new construction. The economy contracted at an annualized rate of 0.2 percent in the second quarter, Statistics Canada reported, far weaker than forecasters had expected.