RBC’s July index shows manufacturing growth
Ontario shows the strongest improvement of four regions.
TORONTO — The RBC Canadian manufacturing index remained in positive territory in July for the second month in a row, registering 50.8, indicating purchasing managers in the sector generally saw expanded production and new business volumes.
The index has been below the neutral 50.0 mark for most of this year but rose to a six-month high of 51.3 nationally in June, although there have been variations on a regional basis for several months.
In July, Ontario showed the strongest improvement of the four regions in the Canadian national purchasing manufacturing index at 55.5 – a strong showing but down from 57.0 the month before.
As in previous months this year, the Alberta-BC region was the weakest region in July at 45.5 but showed an improvement from 44.7 in June.
Quebec’s reading in July was 52.5, up from 52.0 in June, while the “Rest of Canada” regional index was 54.6, down from 57.5 the previous month.
RBC says the July index continues to reflect the negative fallout from the drop in oil prices to the energy sector and the province of Alberta, although that’s almost fully offset by improving conditions elsewhere.
© 2015 The Canadian Press