Tuesday, January 27th-0.6°C
24624
24285

Warm weather fails to heat up cold manufacturing sector: RBC report

OTTAWA - A fresh survey on Canada's manufacturing industry suggests warmer weather is not yet having the desired effect of heating up the sector.

After a winter setback caused by harsh weather, the RBC manufacturing purchasing manager's index slid to 52.2 in May, down from 52.9 the previous month and 53.3 in March.

While still north of 50, which indicates growth, it was the lowest reading since January.

RBC economist Paul Ferley called the second consecutive moderation in the PMI index disappointing, although he said the return to more seasonal temperatures and improvements in the U.S. outlook should lift activity in Canada's manufacturing sector going forward.

And the news isn't any better south of the border. The U.S. manufacturing index also slid in May to 53.2, from 54.9 in April.

There was one encouraging indicator in the Canadian report — the pace of hiring in the sector edged up four-tenths of a point to 52.4.

Still, the good news in Canada's economy of late appears to be based mostly on future expectations.

Most key economic indicators have been tepid, flat or falling.

Employment fell by nearly 30,000 jobs in April, and on Friday, Statistics Canada reported the economy shrank to 1.2 per cent growth in the first quarter — less than half the speed in the previous three-month period.

Analysts believe the Bank of Canada will need to maintain a dovish stance on interest rates this week, given that the economy still has yet to achieve a sustainable and robust growth track.

The Canadian Press


Read more Business News

24811


Recent Trending




Today's Market
S&P TSX14797.83+18.48
S&P CDNX674.39-3.79
DJIA17678.70+6.10
Nasdaq4771.764+13.885
S&P 5002057.09+5.27
CDN Dollar0.8023+0.0007
Gold1277.20-2.2001
Oil46.80-0.13
Lumber316.00-0.30
Natural Gas2.976+0.095

 
Okanagan Companies
Pacific Safety0.14+0.025
Knighthawk0.010.00
QHR Technologies Inc1.39+0.01
Cantex0.035+0.005
Anavex Life Sciences0.18-0.001
Metalex Ventures0.035-0.005
Russel Metals24.45-0.03
Copper Mountain Mining1.09-0.01
Colorado Resources0.135-0.02
ReliaBrand Inc0.006+0.001
Sunrise Resources Ltd0.055+0.03
Mission Ready Services0.24+0.02

 



24813

FEATURED Property
2183127#117 250 Briarwood Avenue
5 bedrooms 2 baths
$269,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


How to price: workbook approach

In 2008 Self Counsel Press published my book - Pricing Strategies for Small Business. The book is now available in Europe, India, Russia and the United States. The purpose of the book was to make avai...


Ailing Parents: Tax Issues

If your parent has become ill, there can be several tax issues that come into play depending on the nature of their illness, their age and the role that family members are playing. For example, if you...


What do I pay ICBC for anyway?

If you have had ongoing dealings with ICBC as a result of a car accident than you have likely had the pleasure of dealing with at least two sides of ICBC. Initially the relationship starts off pleasan...

_



24709




Member of BC Press Council


24975