Spike in Canada exports to U.S. leads to surprise January trade surplus
Canada’s trade surplus with the rest of the world was C$1.41 billion ($1.11 billion) in January, the largest since July 2014. Analysts polled by Reuters had predicted a deficit of C$1.40 billion.
The Canadian dollar clawed back some of its earlier decline after the data, trading 0.1% lower at 1.2678 to the greenback, or 78.88 U.S. cents.
Canada’s exports jumped 8.1% in January, led by a large sale of used aircraft to the United States. Even without the atypical aircraft sale, aggregate exports would have been up, with strong exports of gold bars, crude oil and lumber.
Excluding the swings of 2020, exports posted their largest increase since August 1995.
Canada’s export of services rose slightly on an increase in transportation services, but they still remain 16.3% below the February 2020 level.
Imports edged up 0.9% in January, mostly on higher imports of energy products. Canada’s December trade deficit was revised to C$1.98 billion.