Canada’s trade deficit lowest in 5 months

According to Statistics Canada, Canada’s trade deficit shrank from $3.36 billion to $1.48 billion between September and October 2017, its lowest level in 5 months. The result is largely attributed to a 2.7% month-over-month growth in export value. The growth in exports is likely due to a weaker Canadian dollar, which fell 5 cents against the U.S. dollar throughout September and October, resulting in lower prices for foreign customers.

"The growth in exports is likely due to a weaker Canadian dollar, which fell 5 cents against the U.S dollar throughout September and October, resulting in lower prices for foreign customers."

Imports decreased 1.6% month over the month in October, driven by an 8.1% decline in the auto sector. However, this is largely attributed to multiple automotive plant closures in Ontario as a result of upgrades and industrial strikes, suggesting there is no long-term cause for concern.

 

Upcoming Events
21
Oct
20
Australian Banking Innovation Summit 2020
Sydney, NSW, Australia
See all upcoming events
map4
Subscribe to receive insights delivered straight to your inbox
Latest news, unbiased expert analysis and insights across banking and finance