FX.co ★ Canada Private Sector Activity Back to Contraction

In November 2025, the S&P Global Canada Composite PMI fell to 44.9, a decrease from 50.3 in October, dipping below the neutral 50.0 threshold and hitting its lowest level in five months. The manufacturing sector experienced a decline to 48.4 from 49.6 in October, while the services sector saw a significant drop to 44.3 from 50.5, primarily driving the overall slump. The volume of new business fell for the twelfth month in a row, continuing to negatively impact production levels. Backlogs of work decreased substantially, reaching the most pronounced decline since June 2020, as firms operated with excess capacity. Employment numbers were reduced at the highest rate since mid-2020, as companies downsized their workforce. Business confidence reached a five-month low and stayed below the average trend. On the pricing side, input cost inflation eased to a three-month low, yet remained high, while the inflation of output charges was minimal, marking the smallest increase in seven months.