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Canadian factory PMI falls to three-year low in September as weak market demand weighs

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The S&P Global Canada Manufacturing Purchasing Managers’ Index fell to a seasonally adjusted 47.5 in September from 48.0 in August

Canada’s manufacturing sector downturn deepened in September to its lowest level since shortly after the start of the COVID-19 pandemic as weak market demand weighed on production and new orders, data showed on Monday.

A reading below 50 indicates contraction in the sector. The PMI has been below that threshold since May. “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,” Smith said.

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