Statistics Canada said Friday that Canada has posted its first month to month trade surplus since Sept. 2014, moving from a $1.0 billion shortfall in October to a surprising $526 million surplus in November.
According a Reuters review, examiners had been expecting a November trade deficiency of $1.6 billion.
Exports were up 4.3%, on the quality of expanded shipments of metal and non-metallic mineral items, and in addition record exports to nations other than the United States.
Statistics Canada said trades volumes rose 3.5% and costs were up 0.8%.
In the interim, imports were up 0.7%, for the most part on higher imports of energy items.
Exports to the United States, Canada’s top trade accomplice, additionally ascended in November, climbing 2.5% to $33.7 billion, while imports from the United States were down 0.7% to $29.5 billion. That implied Canada’s trade surplus with the United States enlarged from $3.2 billion in October to $4.2 billion in November, the biggest surplus since June 2015.
TD Bank economist Dina Ignjatovic said in an analysis that the development in export volumes in November was an appreciated improvement for the Canadian economy following two months of delicateness.
“Volumes are now sitting at the highest level seen since February, and could provide some support to economic growth in the fourth quarter which is now tracking near two per cent,” Ignjatovic said.
“Looking to 2017, conditions remain supportive for exports to take the growth baton, as the Canadian dollar will continue to hover in the mid-70 US cent range and growth in the U.S. is set to accelerate,” she said, but added that protectionist measures that could arise under incoming U.S. president Donald Trump may limit any growth in the sector.