TORONTO, Aug 6 (Reuters) – Canada’s \u200cservices economy contracted for a second straight month in July as economic uncertainty depressed market demand and business sentiment, S&P Global’s Canada services PMI data showed on Thursday.<\/p>\n
The \u200bheadline Business Activity Index rose to 49.1 last month from \u200b47.1 in June, but it signaled a contraction by remaining below \u2060the 50 no-change mark.<\/p>\n
“Latest PMI data point to another month of \u200bunderwhelming service sector performance during July,” Paul Smith, economics director at S&P Global \u200bMarket Intelligence, said in a statement. “This was in line with a challenging business climate as tariffs and geopolitics continue to dominate both near-term activity and the outlook for \u200bthe coming year.”<\/p>\n
The U.S. announced new tariffs on nearly $20 billion worth of Canadian \u200bgoods last month.<\/p>\n
The New Business Index remained below the 50 threshold for a third \u200cstraight \u2060month. The data also showed an accelerated contraction in new export business, while confidence in the outlook dropped to its lowest level since June 2025.<\/p>\n
“Adding to the challenging environment was the continuation of steeply rising input costs, \u200bagain linked to \u200btariffs and the \u2060crisis in the Middle East pushing up energy and fuel expenses,” Smith said.<\/p>\n
The Input Prices Index rose to 64.0 \u200bfrom 61.2 in June. The prices charged measure also \u200bedged higher.<\/p>\n
The \u2060S&P Global Canada Composite Purchasing Managers’ Index rose to 49.7 last month from 47.9 in June, weighed down by the decline in service sector activity.<\/p>\n
Data \u2060on \u200bTuesday showed that the S&P Global Canada Manufacturing PMI \u200bedged up to 53.5 last month from 53.0 in June, marking the fastest pace of \u200bexpansion in more than four years.<\/p>\n
Reporting by Fergal Smith; Editing by Paul Simao<\/p>\n
Disclaimer:\u00a0The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and\/ or damages arising from the use of this publication.<\/p>\n","protected":false},"excerpt":{"rendered":"TORONTO, Aug 6 (Reuters) – Canada’s \u200cservices economy contracted for a second straight month in July as economic…\n","protected":false},"author":2,"featured_media":158097,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[6244,6232,17,6237,6239,6231,6242,6235,6233,6236,381,1632,6243,6234,6223,6245,6228,6246,6230,6225,6226,6224,6227,113,6229,6241,6247,1633,6240,6238],"class_list":["post-158096","post","type-post","status-publish","format-standard","has-post-thumbnail","category-canada","tag-bank-forecasts","tag-bitcoin-news","tag-canada","tag-central-banks","tag-charts","tag-crypto-news","tag-currency","tag-economic-reports","tag-ethereum-news","tag-forecasts","tag-global-economy","tag-gold","tag-international-policy","tag-interviews","tag-kitco-news","tag-market-nugget","tag-metals","tag-mining-minutes","tag-mining-news","tag-palladium","tag-pgm","tag-platinum","tag-platinum-group-metals","tag-politics","tag-precious-metals","tag-rare-earth-metals","tag-roundups","tag-silver","tag-tech-metals","tag-us-dollar"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/posts\/158096","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/comments?post=158096"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/posts\/158096\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/media\/158097"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/media?parent=158096"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/categories?post=158096"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/tags?post=158096"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}