Manufacturing sales arise for 3rd true month in May

Manufacturing sales grew by 1.1 per cent to $54.6 billion in May, improved than what economists were awaiting and a third true monthly gain.

Statistics Canada said the travel apparatus and chemical production industries led a advance.

Economists had approaching a benefit of 0.8 per cent for a month, according to Thomson Reuters.

Sales were adult in 16 of 21 industries, representing 71 per cent of a production sector.

“May noted a good month for Canadian manufacturing,” TD Bank economist Michael Dolega said. “The plain volume imitation in May suggests healthy activity during a second quarter.”

Transportation apparatus sales rose 4.2 per cent to $11.5 billion on a behind of a engine car and a engine car tools industries. Chemical production sales climbed 2.4 per cent to $4.4 billion.

In constant-dollar terms, altogether sales were adult 1.1 per cent, indicating that it wasn’t only aloft prices that boost a figure — some-more sum products were sold, too.

But Dolega says a clever production numbers competence not last.

“The new spike in a loonie’s value on comment of tighter financial process by a Bank of Canada will expected poise some downside to growth,” he said. “And a sectoral opinion might be serve difficult by a arriving NAFTA renegotiations, with a U.S. Trade Representative edition rather difficult objectives this week. Discussions will expected start in mid-August and are expected to final for some time given poignant adhering points.”

Article source: http://www.cbc.ca/news/business/manufacturing-sales-1.4211962?cmp=rss