Canada's economy grows 0.2% in October

Canada's real gross domestic product increased 0.2 per cent in October, Statistics Canada said Thursday.

That's a reversal from the 0.1 per cent decline in the value of goods and services produced in September.

The increase was less than some economists were predicting.

Mining and oil and gas extraction were the main sources of economic growth, advancing 2.4 per cent, Statistics Canada said. Oil and gas extraction, the biggest component, was up 1.3 per cent, "almost entirely on the strength of natural gas."

Mining, the second-largest factor in the resource group, rose 2.7 per cent as production at copper, nickel, lead and zinc mines rebounded to levels seen in the spring of 2009.

The third and smallest factor, support work — drilling, rigging and mining exploration — surged 9.9 per cent from September, when bad weather hampered rigging.

The public sector — education, health and administration — also grew, as did the wholesale trade and the catchall category "other."

But manufacturing fell 0.6 per cent, particularly manufacturers of non-durable goods, who cut production by 2.3 per cent. Durable goods makers increased output by 0.8 per cent.

Utilities, finance and insurance, construction, the retail trade and agriculture also fell.

Home resales rose in several parts of the country, helping the output of real estate agents and brokers, but construction fell 0.5 per cent, with a drop in residential building.