Canada S&P Global June manufacturing PMI 48.8 vs 49.0 prior

<ul><li>Prior was 49.0</li><li>Output, new orders and employment all declined</li><li>Lead times posted a record improvement</li><li>Firms commented that market demand
was subdued</li><li>Companies
noted that new export orders were again down, with some
firms noting lower demand from the neighbouring USA</li><li>Confidence in the outlook remained positive</li><li>Backlogs of work declined for an eleventh
successive month in June</li></ul><p>The anticipated weakness is starting to land. I've heard anecdotal reports of layoffs in manufacturing in Canada and I expect there is more to come.</p><p>Commenting on the latest survey results, Paul Smith,
Economics Director at S&amp;P Global Market Intelligence
said:</p><blockquote>“The Canadian manufacturing sector turned in another
subdued performance during June, with the headline PMI
remaining inside contraction territory, dragged down by
further falls in both output and new orders. Reports of
subdued market demand, both at home and abroad,
were widespread, with clients reportedly hanging back
from committing to new business given the uncertain
economic outlook.
</blockquote><blockquote>“Elsewhere in the last report, the record improvement in
vendor delivery times is on the one hand welcome news,
adding to a sense of prevailing market stability following
the disruptions of the pandemic. This has clearly helped
to ensure that inflationary pressure remain under broad
control. However, with a lack of market demand the
principal factor behind the shortening of lead times, its
hard to get away from the sense of subdued industrial
performance heading into the second half of the year.”</blockquote><p>l</p>

This article was written by Adam Button at www.forexlive.com.