Canada's economy grew 0.1% in November, matching forecasts in a survey of analysts, but it was most likely unchanged in December and performed better than expected in the fourth quarter, Statistics Canada data suggested on Tuesday.
In preliminary estimates for December, Statscan said gains in the retail, utilities and public sectors were offset by declines in sectors including wholesale and finance and insurance.
It also said annual gross domestic product in the fourth quarter was likely to rise 1.6%, beating the Bank of Canada's forecast of 1.3%. Flash estimates for December and fourth-quarter GDP, which could change when data is released next month, show 3.8% growth in 2022.
Canada's central bank has raised its key interest rate by a record 425 basis points in 10 months to cool the economy and lower inflation. After the latest rate hike last week, the BoC signaled it might delay further hikes.
Canada's services production sector rose 0.2% in November, boosted by a third straight month of gains in transportation and warehousing. The goods-producing sector contracted 0.1% in November, dragged down by declines in the construction and manufacturing industries.
The Canadian dollar was trading at 1.3430 against the US dollar or 74.46 US cents.
