The Globe and Mail reports in its Friday edition that the Canadian economy stagnated in August due to high interest rates affecting consumers and businesses, with a preliminary estimate indicating a 1-per-cent annualized growth rate for the third quarter. A Canadian Press dispatch to The Globe reports that Statistics Canada said growth in services was offset by declines in goods, while a preliminary estimate for September suggests 0.3 per cent GDP growth. Canadian Chamber of Commerce economist Andrew DiCapua said economic momentum at the start of the summer does not seem to be holding. He said, "There are signs that September growth is going to be positive, but if you look at a variety of different indicators, like hours worked being down, or even retail sales when you take out automotive vehicles, those are all pointing toward downward trends." The manufacturing sector was the biggest economic drag in August, followed by utilities, wholesale trade and transportation. Mr. DiCapua noted a decline in manufacturing due to reduced orders and Ontario automotive plants upgrading their assembly lines. The report also mentioned that shutdowns at Canada's two largest railways contributed to a drop in transportation and warehousing.