The increase, the fifth in the past six months, was greater than the 0.3 percent advance forecast by analysts in a Reuters poll. Statscan revised its October data to show a contraction of 0.2 percent, less than the previously reported 0.3 percent drop.

Manufacturing grew 1.4 percent after a 1.7 percent drop in October, pushed up by higher output of petroleum and coal products, food, machinery, computer and electronic products.

Mining, quarrying and oil and gas extraction expanded 1.4 percent while finance and insurance jumped 1.5 percent, the largest increase since December 2014.

Canada's economy is still performing sluggishly as it gradually adjusts to a plunge in oil prices. Earlier this month the Bank of Canada said it expected annualized fourth-quarter growth to be 1.5 percent.

(Reporting by David Ljunggren; Editing by Paul Simao)