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First Above-50 Mfg PMI Since July

CANADA
  • The S&P Global manufacturing PMI increased from 49.2 to 51.0 in January, the first above-50 reading since July.
  • The description of current details broadly improved on the month. From the press release: it was "underpinned by gains in both production and new orders. Jobs were also added, whilst there were some reports that input goods and labour availability was stabilising after a prolonged period of shortages. Inflationary pressures also continued to soften over the month, although worries over recession persist."
  • Expectations were softer though: "Confidence about the future remained positive but slipped to a three-month low at the start of 2023"
  • USDCAD continues to hold its very tight range around a 1.33 handle with further US data and most importantly the FOMC eyed ahead.

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