TORONTO (Multibagger) - Canadian economic activity rebounded in September after contracting in the prior month as the pace of price increases cooled to its slowest in six months, Ivey Purchasing Managers Index (PMI) data showed on Friday.
The seasonally adjusted index rose to 53.1 from 48.2 in August. A reading above 50 indicates an increase in activity.
August's reading was the first move below the 50 no-change threshold in 13 months.
The Ivey PMI measures the month to month variation in economic activity as indicated by a panel of purchasing managers from across Canada.
The gauge of employment fell to an adjusted 51.6 from 54.7 in August, while the prices index was at 58.2, its lowest level since March, down from 63.4.
The unadjusted PMI rose to 54.5 from 50.3.
Analysis:
The Ivey Purchasing Managers Index (PMI) data shows that Canadian economic activity rebounded in September, indicating growth in the economy. The rise in the seasonally adjusted index to 53.1 from 48.2 in August is a positive sign for investors and businesses. A reading above 50 signifies an increase in activity, which can lead to potential investment opportunities.
It is important to monitor economic indicators like the PMI to make informed decisions about investments and financial strategies. The decrease in the prices index to its lowest level since March suggests that the pace of price increases has slowed down, which could have implications for inflation and consumer spending.
Overall, this data highlights the resilience of the Canadian economy and provides valuable insights for investors looking to capitalize on emerging trends. By staying informed about economic indicators like the Ivey PMI, individuals can make smarter financial decisions and potentially optimize their investment portfolios for long-term growth and stability.