There was a lot of talk on this subject a little while ago; talk about a recovery and "green shoots". I don't want to sound too negative, but I don't understand how it is possible.
Automobile sales in Canada are down for every manufacturer, except Ford. And there are reports out that economists were "surprised" that Canada's economy was flat in July.
http://www.thestar.com/article/703177#And today the headline is that jobless rate in the USA increased to 9.8%, the highest since 1983.Real gross domestic product, a measurement of all the goods and services produced, was unchanged in July after a 0.1 per cent increase in June.
Economists had been expecting a solid increase of 0.5 per cent.
"We're not talking about a shot across the bow of the optimists, this is more like a torpedo through the hull," Doug Porter, deputy chief economist at BMO Capital Markets wrote in a report.
Activity in the manufacturing sector increased by 0.8 per cent, according to StatsCan. The rise came after nine straight monthly declines, but it was still smaller than expected.
There were declines in mining and utilities, and construction.
"In other words, wall-to-wall disappointment on the goods-producing front, with a 0.4 per cent drop," Porter said.
Yet we seem to be relatively immune, with increases in real estate sales and prices. This even though our main industry, forestry, is going through some really tough times. It seems counter-intuitive. What is your opinion?