The seasonally adjusted Ivey purchasing managers index for July is down to 57.6 after rising to 62.5 in June. The decrease is mainly due to an increase in inventories and a slowing in delivery times.

The employment index is up to 56.1 in July after slipping to 52.9 in June and returns to a level more in line with recent months. The inventories index is up to 54.8 in July from 52.7 in June. Increases in inventories are unwelcome as a sign of slowing growth. The deliveries index is down to 46.4 in June after 48.6 in June and the lowest 47.9 in May. Goods are moving through the supply chain faster, another sign of slower growth. The good news is that the prices index is down to 59.2 in July from 62.3 in June and the lowest since 57.9 in March. Ebbing inflationary pressures and softer growth could mean easier monetary policy in the near future.

The unadjusted Ivey purchasing managers index is down to 55.3 in July after 62.4 in June and the lowest since 54.4 in January. The employment index is unchanged at 56.8 in July from the prior month. The inventories index is down a full point to 56.1 in July. The deliveries index moderates to 45.8 in July from 50.0 in June and is the lowest since 43.3 in December 2022. The prices index is down to 58.1 in July from 61.8 in June.

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.