Canadian Economy Regains Steam Late 2023, Reducing Recession Fears
• Canadian economy regained momentum in late 2023, with 0.2% GDP growth in November and preliminary 0.3% growth in December
• Rebound follows period of stagnation weighed down by high interest rates and labor disputes
• Boosts odds of a "soft landing" where inflation is tamed without significant economic downturn
• Strong US economy seems to be spilling over and benefiting some Canadian sectors like manufacturing
• Still unclear if underlying inflation is coming down, which could complicate Bank of Canada's plans to cut interest rates