CA: Ivey Purchasing Managers' Index


Fri May 04 09:00:00 CDT 2018

Actual Previous
Index Level 70.4 64.7

Highlights
April unadjusted Ivey purchasing managers survey reading climbed to70.4 from 64.7 in March. On an adjusted basis, the reading was 71.5, up from 59.8.

On an adjusted basis, the employment index eased to 57.0 from 60.6. Supplier deliveries index reading was 48.3, down from 48.6. The prices index climbed to 67.8 from 60.0 the month before. The inventories index eased to 52.4 from 54.3.

On an unadjusted basis, the employment index slipped to 57.9 from 59.6 while the price index jumped to a reading of 70.3 from 63.3. The inventories index eased to 55.4 from 56.8 in March. The deliveries index slipped to 49.3 from 50.7.

Definition
The Ivey purchasing Managers' Index (PMI) measures purchasing activity as indicated by a panel of purchasing managers selected geographically and by sector of activity to match the Canadian economy as a whole. The PMI includes both the public and private sectors and is based on month-end data. Five categories are covered in the survey: purchases, employment, inventories, supplier deliveries and prices. Results are synthesised into a single index which can range between zero and 100. A reading above (below) 50 signals rising (falling) activity versus the previous month and the closer to 100 (zero) the faster is activity growing (contracting).

Description
The Ivey PMI is provided in two formats -- unadjusted and seasonally adjusted. The index shows responses to one question: "Were your purchases last month in dollars higher, the same, or lower than the previous month?" A figure above 50 shows an increase while below 50 shows a decrease.

The index measures the month to month variation in economic activity as indicated by a panel of purchasing managers. The index uses end of the month data and it covers all sections of Canada's economy. The PMI includes both the public and private sectors and is based on month end data Ivey PMI panel members indicate whether their organizations activity is higher than, the same as, or lower than the previous month across the following five categories: purchases, employment, inventories, supplier deliveries and prices.