- Prior was 48.0
- Output, orders and employment all fell amid reports of softening market conditions
- Cost pressures showed signs of stabilisation following August’s upturn
- The decline in production was the steepest since August 2022
US manufacturing numbers are showing signs of bottoming and turning higher while Canadian data struggles. That suggests the IRA and CHIPS might be giving the US a leg up.
Commenting on the latest survey results, Paul Smith, Economics Director at S&P Global Market Intelligence said:
“In line with the global industrial downturn, the Canadian manufacturing sector continued to experience lacklustre performance during September. Output and new orders both fell to steeper degrees amid evidence of slow market demand. Price levels remain a problem for many clients, especially as Canadian manufacturers continued to hike their charges to a solid degree. “However, the weakening of cost inflation to a marginal pace may augur well for price developments further down the supply chain in the coming months. With job shedding again reported, these later developments add support to the Bank of Canada’s recent decision to hold its main policy rate unchanged.”