Canada's current account deficit (on a seasonally adjusted basis) narrowed by $1.9 billion to $6.2 billion in the first quarter. The lower deficit mainly reflected a smaller investment income deficit, partially offset by a higher trade in goods and services deficit. In the financial account (unadjusted for seasonal variation), inflows of funds from abroad to finance the current account deficit came primarily from a reduction in foreign portfolio shares and loans as well as from new issuances of corporate bonds on international markets. Meanwhile, the direct investment activity generated a net outflow of funds ... (full story)