Canada September Markit PMI data
- Canada Markit PMI for September comes in at 57.0 versus 57.2 last month
- Despite the decline from last month, the latest reading extended the period of growth to 15 successive months (above 50), with the latest expansion among the sharpest in the 11-year history of the survey.
- Manufacturers recorded another solid upturn in their production volumes, although the rate of growth moderated from August's four-month peak. Surveyed respondents commented on supportive demand conditions, new product launches and increased efforts to boost output.
- new orders rose sharply, but at a softer pace than that seen in August.
Shreeya Patel, Economist at IHS Markit, said:
"Canada's manufacturing sector recorded another healthy improvement in operating conditions in September, despite infection rates rising in key provinces. Consumer demand remained strong and in turn supported output growth. However, while we can draw many positives from the latest data, issues surrounding global supply remain. Material scarcity led to higher prices, shipping delays, and subsequent increases in incomplete work. Anecdotal evidence suggests firms sought to clear their backlogs, but a lack of skilled workers hindered productivity. Firms will experience shortages and price hikes for some time but, by building their input stocks over the last eight months, they should be prepared for another busy quarter. On the COVID-19 front, the vaccination effort, which was slow to start off with, nears completion. The majority of the population has been inoculated against COVID-19 which should protect against a tightening of measures."
