The Canadian economy advanced slightly in November after stalling in September and in October.

Canada’s gross domestic product rose by 0.2% in November after no growth in the previous two months, Statistics Canada said today.

“Increased demand for machinery and electronic equipment boosted wholesaling services, and high energy prices spurred oil and gas exploration,” the StatsCan said.

The report was in line with the expectations of economists, who had been looking for gross domestic product to grow by between 0.2% and 0.3%.

Statistics Canada said the manufacturing sector recorded a flat performance while utilities increased their output by 0.3%.

Mining sector output grew by 0.8% due to increased oil and gas extraction and exploration. Foreign demand for metals and potash also boosted growth of this sector.

On an annual basis, gross domestic product advanced 3.2% between November 2004 and November 2003.

In a separate release, StatsCan revised its estimate for the November merchandise trade surplus downward by $1.9 billion to $5.4 billion. Correct data indicate that companies imported $29.3 billion worth of merchandise in November and exported $34.7 billion the month, the agency said Monday.