Canada's economy grew at an annualized rate of 3.7% in the first quarter, outpacing the 1.2% growth of the U.S. in the same period, the country's national statistical office said May 31.

The latest data from Statistics Canada showed that GDP ticked up 0.9% in the first quarter at a nonannualized pace, following a 0.7% rise in the fourth quarter of 2016.

Consumer spending rose 1.1%, with transport as the largest contributor to household expenditure.

After eight declines in the previous nine quarters, business gross fixed capital formation rose 2.9% in the first quarter, driven by a 3.7% growth in business investment in residential structures and a 5.8% jump in machinery and equipment investment.

Exports edged down 0.1% in the first quarter as services slid 0.5%, while imports climbed 3.3%.