‘The data overall should maintain confidence in the manufacturing sector, especially with a solid increase in new and unfilled orders.’ – Tim Clayton, Economic Calendar
Canadian manufacturing sales rebounded in March but less than expected amid higher demand for motor vehicles and higher sales in the food industry. Statistics Canada reported on Wednesday that manufacturing sales rose 1.0% in March, following the preceding month’s downwardly-revised fall of 0.6% and slightly missing analysts’ expectations for a 1.1% gain. In volume terms, sales were up 0.2%. Data showed that sales rose in 16 out of 21 industries in the reported month, representing 71% of the total manufacturing sector output. The largest gain of 2.1% was posted by the transportation sector. The following increase of 2.1% was mainly driven by highest sales of vehicles and vehicle part. Furthermore, food sales climbed for the second straight time, rising 2.6% to a record high of C$8.9B. Sales of meat and dairy products contributed the most to the rise. New orders rose 2.6%, marking the fourth consecutive increase. Wednesday’s data also showed that inventories advanced 1.2% to a record high of C$72.7B, with the inventory-to-sales ratio remaining unchanged at 1.35.
