The Ivey
Business School Purchasing Managers Index (PMI), measuring Canada’s economic
activity, fell by 1.1 points to 52.0 in October from an unrevised 53.1 in
September. The
latest reading indicated the private sector’s activity expanded for the second
straight month in October albeit at a slower
pace than in the previous month.
The 50-point mark separates expansion from contraction.
Economists had expected
the indicator to rise to 54.2 in October.
According to the report, the inventories measure declined by
2.9 points to 50.4, indicating inventories increased for the fifth consecutive
month in October at the
weakest pace in the sequence. The employment index dropped by 0.3 point to 51.3,
indicating continuing growth in employment albeit at a slightly softer pace than in
the previous month. Meanwhile, the deliveries gauge increased by 0.4 point to 47.4, indicating a contraction in
deliveries for the seventh straight month. The prices indicator rose by 0.3
point to 58.5, indicating that prices continued to grow last month and at a somewhat faster
pace than in the previous month.