OTTAWA – Statistics Canada reports the economy grew 0.5 per cent in July, the second month of recovery from a significant decline in May and a better showing than many economists predicted.

July’s growth was led by the mining, oil and gas extraction sector, which was up 3.9 per cent from June.

That included a 19 per cent increase in non-conventional oil extraction, as oilsands production returned to normal levels after the wildfires in Fort McMurray, Alta.

The output of goods-producing industries overall rose 1.0 per cent in July while output from service-producing industries advanced 0.3 per cent.

The figures indicate that Canada’s economy began the third quarter on solid footing after it experienced a significant contraction in the second quarter.

The Statistics Canada report was also stronger than a general estimate from economists, who had forecast growth of 0.3 per cent, according to Thomson Reuters.

Story originally form  The Canadian Press