OTTAWA - Statistics Canada says the Canadian economy continued to contract in February, slipping 0.1 per cent.
That was much less severe than the 0.7 per cent slide recorded in January and a better showing than the 0.2 per cent contraction that economists had expected.
Still, the agency noted that economic activity has declined by 2.4 per cent since October of last year.
It said that a 19 per cent rise in motor vehicle and associated parts manufacturing in February was not enough to outweigh declines in construction and in mining activities, excluding oil and gas.
Wholesale and retail trade and several major groups of the manufacturing sector also declined.
Statistics Canada said there was a significant increase in motor vehicle manufacturing as the output of the manufacturing sector edged up 0.1 per cent in February.
Excluding motor vehicle and parts production, the manufacturing sector dropped 0.8 per cent.
