According to Statistics Canada, a weak non-residential and residential sector pulled Canadian building permits down 5.3 per cent from May to June. This plunge was unexpected, as analysts had predicted an average decline of only one per cent.

The value of permits in the non-residential sector fell by 6.6 per cent to $2.8 billion, following two consecutive months of increase. For industrial buildings, permit value dropped by 31.1 per cent, primarily due to fewer permits for utility buildings.

The residential sector saw a fall of 4.4 per cent, yielding $3.6 billion in building permits. A 13.8 per cent drop in permits for multi-family buildings, mostly in Ontario and Alberta, contributed significantly to the residential downturn.