08:51 AM EDT, 09/27/2024 (MT Newswires) -- The Canadian economy gained momentum temporarily in July, with gross domestic prodcut advancing by 0.2% month over month, a tick above the consensus, said CIBC.

Service sectors led growth, with retail trade the largest contributor to the gain as auto sales bounced back following software disruptions in the prior month. The public sector and finance/insurance were the other largest contributors on the services side, while goods-producing industries recorded a modest 0.1% increase.

The advance estimate for August also released on Friday suggested no growth, with decreases in manufacturing and transportation/warehousing offsetting a boost from the oil/gas sector and public administration.

Overall, this leaves the quarter tracking growth of roughly 1% annualized, well below the Bank of Canada's 2.8% forecast, and extending the weakness in per-capita output, stated CIBC.