In April 2024, the S&P Global Canada Manufacturing PMI saw a decline of 0.4 points from the previous month, settling at 49.4.
This marked the twelfth straight month of contraction in Canadian manufacturing, a notable deviation from the anticipated expansion level of 50.2.
Production and new orders both continued their downward trajectory, exacerbating the contraction in operational conditions.
This marked the twelfth straight month of contraction in Canadian manufacturing, a notable deviation from the anticipated expansion level of 50.2.
Production and new orders both continued their downward trajectory, exacerbating the contraction in operational conditions.
The downturn in new and export orders was largely influenced by weak global demand, prompting manufacturers to scale back production .
Input costs, on the other hand, kept climbing, fueling inflationary pressures, even though limited market demand and competitive pressures constrained pricing power .
Forward-looking, manufacturers maintained a cautious optimism about future production, although there is ongoing concern about the effect of elevated interest rates on market dynamics.
This persistent weakness in the manufacturing sector is likely to influence the Bank of Canada's decision on interest rates come June 5th, 2024.
Input costs, on the other hand, kept climbing, fueling inflationary pressures, even though limited market demand and competitive pressures constrained pricing power .
Forward-looking, manufacturers maintained a cautious optimism about future production, although there is ongoing concern about the effect of elevated interest rates on market dynamics.
This persistent weakness in the manufacturing sector is likely to influence the Bank of Canada's decision on interest rates come June 5th, 2024.
Alexander Gasenko, Mortgage Broker
DLC Maple Mortgage Group, Lic #13415
DLC Maple Mortgage Group, Lic #13415
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