Canada's economy faces potential trouble as GDP declines in the first quarter of 2025.

Canada's economy is showing signs of potential trouble, with its GDP declining in the first quarter of 2025, though it had risen in the previous quarter. Consumer spending is mixed, with durable goods and retail sales up, but some discretionary spending down. While unemployment rates haven't hit recession levels, debt and delinquency rates are rising. The country hasn't officially entered a recession, which would require two consecutive quarters of negative GDP growth.