Canada’s Ivey PMI Plummets, Surprising Markets

The Ivey PMI for Canada fell significantly to 52.4 from a previous reading of 59.8, marking a decrease of 7.4 points. This decline indicates a slowdown in business activity, as the index remains above the 50-mark but shows a weaker expansion compared to the previous month.

The actual PMI figure came in below the analyst estimate of 55.2, suggesting that business conditions are softer than expected. This unexpected drop is likely to weigh on the stock market, particularly affecting sectors sensitive to business cycles, such as manufacturing and industrials. The market impact may be short-term as investors reassess growth expectations and sentiment shifts accordingly.