Mixed Manufacturing Readings In U.S. And Canada

Connecting the Dots monitors all major economic announcements in the United States and Canada, but MSCI also offers industrial metals industry-specific data products that provide much deeper analysis and insight. Visit MSCI’s website and click on industry data to learn more about our Metals Activity Report (MAR), Momentum Monitors, and Economic Pulse.

Meanwhile, here are the major economic headlines from the last week:

• According to Statistics Canada, wholesale sales in the country fell 1.7 percent to $85.6 billion in February, down from a record high set in January. The decline was due mainly to a 6.2 percent drop in motor vehicle sales, a 5.5 percent decline in motor vehicle parts and accessory sales, and 3.9 percent drop in the food, beverage, and tobacco subsectors. Read Statistics Canada’s full report here.
• The Federal Reserve Bank of New York reported manufacturing activity grew in its region for the first time in many months. The regional bank’s general business conditions index rose 35 points to +10.8, a reading that suggests a small expansion in the sector. The reading for new orders increased 47 points to +25.1 while readings for shipments, inventories, and unfilled orders also improved. Read the full report here.
• The Federal Reserve Bank of Philadelphia said manufacturing activity in its region continued to decline in April. The bank’s general activity index fell eight points to -31.3, the eighth consecutive negative reading and the lowest reading since May 2020. The indexes for new orders and shipments both remained negative, but did improve. Still, almost 28 percent of the firms reported decreases in shipments compared with 20 percent that reported increases. Read more here.
• New residential construction activity in the United States fell 0.8 percent in March. The number of new homes under construction dropped 17.2 percent while new housing permits, a proxy for future residential construction, fell 8.8 percent.
• The U.S. Department of Labor announced last week that recurring U.S. unemployment benefit claims rose to the highest level since November 2021, indicating some softening in the labor market. Continuing claims, or the number of people who have already filed an initial application and are now claiming unemployment benefits, jumped to 1.87 million in the week ended April 8. The number of people who received jobless benefits for the first time also rose. Read the full report here.
• In other economic news: Retail sales in Canada fell 0.2 percent in February. Core retail sales, which exclude gasoline stations and fuel vendors and motor vehicle and parts dealers, increased 0.1 percent, however. Read the full report here.