FX.co ★ Canada Private Sector Activity Shrinks for 7th Month

In June 2025, the S&P Global Canada Composite PMI registered a decline to 44.0 from 45.5 in May, indicating the seventh month in a row of contracting private-sector activity. Both the manufacturing and services sectors experienced comparable shrinkages, with indices at 45.6 compared to 46.1 and 44.3 compared to 45.6, respectively. Although new orders continued their downward trend, the rate of decline was the slowest recorded since January. The volume of backlogged work further decreased, while slight job growth was evident as companies modestly increased their workforce. Business optimism remained low due to persistent trade uncertainties. In terms of pricing, input cost inflation climbed to its highest point in three months, and the inflation rate of output charges reached its peak since April 2024.