The seasonally adjusted Ivey purchasing managers index is down sharply to 52.0 in May after 63.0 in April. Although the index for employment is unchanged at 56.4 in May from April, the other three indexes show more negative conditions. The inventories index dips to 49.1 in May from 52.8 in April, although it remains about neutral for a second month in a row. The deliveries index is down to 47.9 from 49.6, suggesting that goods are moving along supply chains with little resistance from demand. The prices paid index picked up to 63.5 in May after 62.4 in the prior month, and is up for a third month in a row. Costlier inputs and slow demand mean weaker activity.

The unadjusted Ivey purchasing managers index is down to 59.1 in May after 65.7 in April. The employment index is up to 59.8 in May after 57.3 in April and is at the highest since 59.9 in September 2023. The inventories index is down somewhat to 52.7 in May from 53.9 in April. The deliveries index continues to hover near neutral at 49.2 in May after 50.8 in April. The index for prices paid is essentially unchanged at 64.1 in May from 64.3 in the prior month.

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).

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.