Canada: Manufacturing PMI improves to 57.9 in December

• Markit Manufacturing PMI in Canada surged to a record high in December.
• USD/CAD trades with modest daily losses above 1.2700.

The business activity in Canada's manufacturing sector continued to expand at a robust pace in December with the IHS Markit Manufacturing PMI improving to 57.9 from 55.8 in November. This marked the highest reading since the survey began in October 2010.

Commenting on the report, "latest data indicated the Canadian manufacturing sector concluded 2020 with a record month-on-month improvement in business conditions," said Shreeya Patel, Economist at IHS Markit. "New orders and output supported the latest rise with robust increases registered."

Market reaction

Despite the upbeat data, the USD/CAD edged slightly higher and was last seen trading at 1.2712, where it was losing 0.1% on a daily basis.