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BMO Says Canada's Economy's Is Struggling to Grow

BY MT Newswires | ECONOMIC | 07:53 AM EST

07:53 AM EST, 02/03/2026 (MT Newswires) -- There were few major surprises in the latest Canadian gross domestic product figures, but they did drum home the point that the economy struggled in late 2025, said Bank of Montreal (BMO).

Even with Friday's flash estimate of a 0.1% month-over-month advance in December, that would still leave the three-month annualized trend buried in negative terrain, noted the bank.

There's not a perfect fit between the monthly numbers from the industry, or output, side of the economy and the quarterly numbers, which are derived from the spending data, stated BMO.

The early monthly figures are often revised heavily, especially when there are big moves in trade. With net exports adding to growth in Q4, the bank wouldn't be shocked to see the final figures come in close to zero for GDP, although it will be a close call.

The key point is that the economy is struggling to grow, according to BMO.

MT Newswires does not provide investment advice. Unauthorized reproduction is strictly prohibited.

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