Exports to the United States dropped 7.5 per cent from April to June compared with the previous quarter. Photo by Bloomberg

Some economists think there is a case to be made for the Bank of Canada to cut interest rates after the economy contracted 1.6 per cent in the second quarter, crushing the average estimate of -0.7 per cent.

Statistics Canada released its latest gross domestic product (GDP) numbers on Friday. The report showed the economy reversed course in the second quarter after expanding by two per cent on an annualized basis in the previous one. Exports to the United States dropped 7.5 per cent from April to June compared with the previous quarter.

The Bank of Canada projected in its most recent Monetary Policy Report (MPR) that GDP would contract 1.5 per cent quarter ove

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