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Even amid a string of better-than-expected indicators on employment, factory sales and retail trade, Canada's central bank said the economy wasn't yet firing on all cylinders. Canada's gross domestic product, or the broadest measure of goods and services produced in an economy, was unchanged in February from the previous month, holding at 1.71 trillion Canadian dollars ($1.26 trillion), Statistics Canada said Friday. Market expectations were for a 0.1% month-over-month gain, according to economists at Royal Bank of Canada. Climbing Chalk|Canada February's performance comes after a 0.6% surge in the previous month, and 2.6% annualized growth in the fourth quarter. On a year-over-year basis, GDP rose 2.5% in February. Meanwhile, U.S. data released at the same time indicated the American economy rose 0.7% in the first quarter at a seasonally adjusted annual rate, or the slowest pace in three years. Even with February's flat reading, economists still expect Canadian GDP to expand by over 3% annualized in the first quarter. Continue Reading Below ADVERTISEMENT The Bank of Canada said earlier this month that recent momentum was due to temporary factors, and expected growth to slow starting in the middle of this year. Furthermore, uncertainty over U.S. trade policy -- which escalated in recent days -- is bound to provide cautious Canadian firms with further reason to curb back investment and hiring plans.
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