OTTAWA (Reuters) - The pace of purchasing activity in Canada slowed slightly in July as measures of companies’ inventories and supplier deliveries both pulled back, according to Ivey Purchasing Managers Index data released on Friday.
The seasonally adjusted index fell to 60.0 from 61.6 in June. The unadjusted index declined to 52.9 from 63.9. A reading above 50 indicates an increase in the pace of activity.
Companies grew their inventories at a slower pace in July, with the seasonally adjusted measure declining to 55.8 from 60.7. The gauge of supplier deliveries shrank further to 46.2 from 46.9.
The employment index fared better, edging up to 52.6 from 52.0. Separate data released earlier on Friday showed the Canadian labor market continued to make gains in July, adding 10,900 jobs.
But prices jumped to 69.2 from 57.4, the highest level since April and suggesting a higher cost of inputs could be squeezing companies’ margins.
Reporting by Leah Schnurr; Editing by Bernadette Baum