Leading Indicator of Industry Profitability: June 2010

Default product image

Leading Indicator of Industry Profitability: June 2010

Industry Sector Economics

Author: Maxim Armstrong, Michael Burt

$265.00

  • The outlook for corporate profitability in Canada weakened again in May, with the leading indicator for all industries falling 0.4 per cent for a second month in a row.
  • The decline suggests that after experiencing a strong post-recession recovery, corporate profitability will weaken modestly in the second half of the year, as interest rates rise.
  • The outlook for most industries remains positive, but their rates of profit growth are expected to slow.
Want a discount? Become a member by purchasing a subscription! Learn More

The monthly Leading Indicator of Industry Profitability is constructed from high frequency data series. The indicators are designed to be predictive of movements in corporate profitability six months hence. An industry leading index is created for the economy as a whole, as well as for 49 individual sectors within the economy, thus providing coverage for most of the private business activity that takes place in Canada.

Require an accessible version of this research?

Upon request, The Conference Board of Canada offers accessible versions of research. Please contact us to request your accessible version.

Learn more about our accessibility policies.