Market News: Week Ending November 6, 2026

Market News: Week Ending November 6, 2026

The Institute for Supply Management reported that its Purchasing Managers Index moved up to 55.5 in October from September’s 54.5 reading. This was the tenth consecutive posting above the key 50.0 (generally expanding) level. With the market looking for only a modest move, this reading is somewhat stronger than consensus expectations and points to stable growth in U.S. manufacturing activity.

Statistics Canada announced that, in September, Canada's merchandise exports increased 0.2% while imports dropped 0.3%. As a result, Canada's merchandise trade balance with the world edged higher to a surplus of $5.4 billion from a revised $5.0 billion in August (previously reported as $4.2 billion). Exports to the United States rose 0.7% in September, while imports from the U.S. fell 0.3%. As a result, Canada's trade surplus with the United States widened from a revised $12.1 billion (previously reported as 11.2 billion) in August to $12.3 billion in September. It is widely expected that these figures will continue to fluctuate as international trade remains unsettled. The trade surplus will be a positive sign for overall GDP growth in the third quarter.

The U.S. Census Bureau announced that the country's international trade deficit in goods and services stood at $105.0 billion in September, slightly narrower than the $105.7 billion gap for August. September exports were $321.5 billion, $5.8 billion more than August exports. September imports were $426.6 billion, $5.2 billion more than August imports. A modestly wider trade deficit was anticipated, so these results are somewhat stronger than expected

The Institute for Supply Management announced that its Non-Manufacturing (Services) PMI edged lower to 54.5 in October, from September’s 54.9 level. Regardless, the October reading is the 28th consecutive above the key 50.0 (generally expanding) level for the services sector. With the market looking for a minor decline, this report is in line with consensus expectations. This result indicates signs of continued expansion of the service sector.

The U.S. Bureau of Labor Statistics announced that non-farm labour productivity expanded by 3.6% (annualized) during the third quarter of 2026, establishing another new high. This follows an upwardly revised 2.1% advance, on the same basis, in the first quarter (previously reported as 1.4%). During the third quarter of 2026, unit labour costs declined 0.7% (annualized). These results are stronger than market expectations, and they paint a stark picture when compared to Canada’s secular weakness in productivity, seen since the end of 2014. Productivity growth is a key competitive advantage. It is important for longer-term economic stability as it allows for a higher standard of living with both higher wages and faster economic growth, all without added inflationary pressures.

The U.S. Department of Labor announced that initial jobless claims totalled 189,000 (seasonally adjusted) in the week ending October 31, a decrease of 6,000 from the previous week's revised level. The previous week's level was revised up by 1,000 from 194,000 to 195,000. The 4-week moving average was 194,750, a decrease of 2,250 from the previous week's revised average. The previous week's average was revised up by 250 from 196,750 to 197,000. These results are somewhat stronger than market estimates.

NOTE:
All index performance is in Canadian dollars.
IMPORTANT DISCLAIMERS:
The information in this letter is derived from various sources, including CI Global Asset Management, CRA, Bloomberg, National Post, Globe and Mail, Wall Street Journal, Bloomberg, Reuters, Investment Executive, Advisor.ca, MarketWatch, Toronto Sun, The Guardian, MSN.ca and Statistics Canada at various dates. This material is provided for general information and is subject to change without notice. Before acting on any of the above, please contact me for individual financial advice based on your personal circumstances. Certain statements contained in this communication are based in whole or in part on information provided by third parties and CI Global Asset Management has taken reasonable steps to ensure their accuracy. Market conditions may change which may impact the information contained in this document.