Julian Beltrame, The Canadian Press
June 30, 2008 - 11:35 a.m.

OTTAWA - Canada appears to have skirted a technical recession, posting a dense if unspectacular 0.4 per cent gain in the gross domestic product in April that decree likely remain the economy above wet this quarter.

The advance was slightly above agreement and reverses two straight monthly declines that contributed to overall annualized 0.3 per cent retreat in GDP for the period of the first quarter.

April’s rebound was led by Canada’s most troubled sector, manufacturing, which grew 1.9 by means of cent, through motor vehicle production increasing by seven per cent.

“One month does not a trending make,” cautioned CIBC World Markets economist Avery Shenfeld. “It still foliage the second quarter headed for only lacklustre growth overall.”

Still, any growth in the aid quarter would leave Canada above the watermark in terms of a recession, which many economists define as two consecutive quarters of negative bourgeoning.

The economy is far from uncovered of the woods, however.

The continued run-up in energy prices and renewed concern about U.S. credit markets point to subdued growth for the rest of the year, said Douglas Porter, deputy leading economist with BMO Capital Markets.

“The firmer-than-expected blessing in April was not quite enough to full reverse the February and March declines,” he noted.

“Indeed, the economy has managed to produce no growth on net over the past six months, as weak a stretch of activity as seen besides the past decade.”

Most economists are now forecasting a growth rate of in a state of being liable to one per cent in the second quarter and not much better for the rest of the year.

The advance in April was evenly compass between services and goods production.

Manufacturing of petroleum and coal products rose significantly and auto manufacturing revived after a drench slump in March, but the output of forestry products was hampered by weak foreign demand.