The slide was steeper than expected by analysts, whose consensus forecast was for GDP to stay in positive range at +0.2% following January's 0.6% increase.

The goods producing sector was down 0.4% from the month before, with construction the one bright spot with a 0.2% rise. Manufacturing activity declined 0.7% and mining and oil and gas extraction was down 0.6%.

Services-producing industries, which had posted gains in four of the previous five months, reported a 0.1% decline in February, with wholesale trade taking the biggest hit at -1.4%. The StatsCan report said wholesalers of motor vehicles and building supplies were the most affected. Retail trade was down 0.6% and transportation and warehousing was off 0.5%.

Retail declines were widespread, with lower sales volumes reported by pharmacies, clothing stores and new and used car dealers.

The energy sector fell 0.9% in February, with declines in natural gas extraction, exports and storage. Those declines were partially offset by higher oil prices and increased crude oil production and exports.

Construction activity increased 0.2% from the previous month with a significant increase in apartment construction propelling the residential sector. The home resale market fell in February.

By Geoff Matthews, This email address is being protected from spam bots, you need Javascript enabled to view it , edited by Nancy Girgis, This email address is being protected from spam bots, you need Javascript enabled to view it