Statistics Canada reported Wednesday that the value of building permits issued by the Canadian municipalities rose 2.5 percent m-o-m in June, following a 10.7 percent m-o-m surge in May (revised from an originally reported 8.9 percent m-o-m increase). Economists had forecast a 2 percent drop in June from May.

According to the report, residential building permits fell 0.9 percent m-o-m, as a tumble in the permits for single-family dwellings (-12.5 percent m-o-m) offset a surge in permits for multi-family buildings (+12.5 percent m-o-m).

Meanwhile, non-residential permits rose 8.8 percent m-o-m in June, as all building components, namely commercial (+13.0 percent m-o-m), industrial (+6.3 percent m-o-m) and institutional (+2.1 percent m-o-m), recorded higher construction intentions.

In June, building permits rose in six provinces, led by Quebec (+12.3 percent m-o-m) and Manitoba (+40.4 percent m-o-m).

Building permits demonstrated a 10.4 y-o-y surge in the second quarter, with all building components gaining except for institutional structures.