Analysis are now looking for another key indicator as Statistics Canada reports how the economy performed at the start of the year. The consensus thus far is that Gross Domestic Product (GDP) grew by 0.5% in January, or about 6% annualized.
With this data in mind, it should put Canadian on track for a quarter of rapid growth.
Economists are surprised as to how strongly Canada has recovered from the 18 month recession.
The growth seen in the final quarter of 2009 beat the Bank of Canada expectations by almost 2 %, rising at an annualized rate of 5%. We are seeing similar results in the first quarter of 2010.
We have house prices, sales and starts rebounding, with consumer spending strong in each new report.
With how the economy is recovering there are reports of it being signs to a V shaped recovery. Which is something no one though possible just a year ago, when Canada was in the face of the financial crisis.
An economics professor at Queens University noted that there is a risk now that the massive government stimulus has overthrown the Great Recession. The risk being that it has come in too late, and brings the possibility of over heating the economy.
Personally, I do find that recovery has been quick, however not to the point where we have to worry about the economy recovering too fast. It might seem fast paced now, but a few months down the road it will have stabilized and recovery should keep at a steady pace.