Canada PMI Rises in April, Still Below Expansion

Narrative A

Canada's economy is showing real signs of stabilization — the composite PMI nearly hit expansion territory in April, new orders rose for the first time since November 2024, and business confidence hit an 18-month high. The federal deficit outlook has also improved significantly, with stronger growth and higher energy revenues giving the government room to invest in infrastructure and affordability. This isn't a boom, but the trajectory is clearly moving in the right direction.