Indicators show further, if tepid, Canadian growth

OTTAWA (Reuters) - The Canadian economy is showing further, perhaps tepid, signs of growth, two new economic indicators demonstrated on Thursday.

Statistics Canada's composite leading indicator grew for the fourth straight month in October from September, by 0.7 percent, exactly as expected. As in September, eight of the 10 categories advanced.

Wholesale trade edged up by 0.2 percent in September, less than the 1.4 percent expected by analysts surveyed by Reuters, as gains in the machinery and food sectors barely offset declines in the auto industry.

Excluding the auto sector, sales rose by 0.6 percent.

The statistics showed an improvement in the ratio of wholesale inventory to sales to 1.34 from 1.35 in August, as inventories fell 0.9 percent. The ratio, a measure of the number of months required to exhaust inventories if sales were to stay the same, was the lowest level since November 2008. The figures are seasonally adjusted.

Statscan also reported that foreigners added C$13.59 billion ($12.82 billion) worth of Canadian securities in September. This was largely due to the fact that Canadian firms buying foreign companies issued new shares to the investors in the acquired firms.

(Reporting by Randall Palmer, Editing by Chizu Nomiyama)