/www.fxserver.com/ OTTAWA - The prospects for the Canadian economy got a double boost Wednesday when Statistics Canada released its composite leading index and investment intentions reports.
The news boosted the dollar, which closed up 0.93 cents to 71.54 cents US.
With the exception of manufacturing, the leading index, which provides an early estimate of economic performance, rose in June.
And with the exception of high tech and communications, capital investment is expected to rise much faster this year than Statistics Canada reported in February.
The leading index, which measures 10 components from the leading U.S. indicator to employment, rose 0.3 per cent in June. Six of the components rose, one more than in May
. All the economic, retail, stock market and household indicators were up, but three manufacturing indicators fell. Statistics Canada singled out lumber and industrial goods as being especially weak.
In terms of investment, the agency said spending on plant, equipment and housing will be up 2.2 per cent from the February forecast and will reach $212.5 billion this year, up four per cent from 2002.
Housing, governments (especially municipal spending on infrastructure) and oil and gas are strong, but investment by the information and communication technology industries is expected to fall 12.2 per cent to $10.4 billion.
Even manufacturing investment is forecast to rise $2.3 billion over last year, "restoring nearly the entire decline of 2002." Car manufacturing, paper mills and aluminum are big spenders.