Manufacturing growth in Canada picks up to four-month high in NovemberStaff Writer | December 5, 2016
Canadian manufacturers reported a modest improvement in business conditions during November, driven by a rebound in production volumes and the fastest rise in new work since April.
Canadian economy Markit Canada Manufacturing PMI
The seasonally adjusted Markit Canada Manufacturing Purchasing Managers’ Index (PMI) edged up to 51.5 in November, from 51.1 in October, to remain above the neutral 50.0 threshold for the ninth consecutive month.
Moreover, the latest improvement in overall business conditions was the strongest recorded since July.
November data indicated a return to rising output levels, following the stagnation recorded during the previous month. Although only marginal, the increase in manufacturing production was the fastest since August.
Anecdotal evidence cited improving new order books, greater export sales and signs of a rebound in energy sector spending in particular. The latest survey highlighted that new business growth picked up to a seven-month high, supported by the first rise in export orders since June.
Manufacturers noted that inventory building among clients and exchange rate depreciation against the U.S. dollar had provided an uplift to new work received from abroad. ■