Economy growing at 6.1% pace

[CBC News, cbc.ca]

Canada’s economy expanded by 1.5 per cent in this year’s first quarter, the third straight gain following a recession.

Statistics Canada released data Monday showing Canada’s gross domestic product grew by 1.5 per cent between January and April inclusive, following a 1.2 per cent gain in the three months before that.

On an annualized basis, GDP grew 6.1 in the first quarter after advancing 4.9 in the fourth quarter of 2009. That pace of growth is the strongest in more than a decade.

The U.S. economy expanded at a three per cent pace during the same period.

Goods-producing industries grew by 2.7 per cent during the quarter, outpacing the 1.1 per cent gain in services. In manufacturing, the gains were widespread, with durable and non-durable goods advancing 5.9 and 2.1 per cent, respectively.

Increased consumer spending, a hot housing market and government spending – although less than before – helped power the gains.