The data from the GDP index published by Statistics Canada yesterday, Friday, shows that the monthly economic growth index in Canada recorded a growth of 0.3% during last June, according to market expectations, which indicated growth of the index by 0.3% during the same period. The previous reading of the index recorded stability at zero levels during last May, which was revised to show a growth of 0.1%.

It is worth mentioning that the GDP index in Canada measures the change in the value of goods and services adjusted for inflation on a monthly basis. This is the primary and broadest measure of economic activity.

Traders are looking forward to an improvement in the stock market and consequently the pace of the economy, as a recovery in business activity means increased corporate profits. In addition, bond traders are heavily affected by inflation and the improvement of economic activity, as this improvement may lead to rising inflation. By monitoring its data, investors can understand market movements and their financial portfolios. Positive economic growth data supports the Canadian dollar and vice versa.