Canada’s Economy Surges 2.6% in Q3 2025, but ‘Very Noisy’ GDP Report Masks Weak Demand
Canada’s economy has snapped back from a spring contraction with a surprisingly strong third‑quarter performance — but behind the upbeat headline, the picture is far murkier for households, businesses and the Bank of Canada. On November 28, Statistics Canada reported that real gross domestic product (GDP) grew 0.6% quarter‑over‑quarter in Q3 2025, equivalent to 2.6% annualized, after a 0.5% decline in Q2 (‑1.8% annualized).Statistics Canada+1 That was far ahead of both private‑sector forecasts and the Bank of Canada’s own projection of roughly 0.5% annualized growth for the quarter.Desjardins.com+1 Crucially, this rebound allowed Canada to avoid a technical recession (two straight