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Canada's seasonally adjusted Ivey purchasing managers' index slid to 49.4 in May from 53.1 in April. Analysts had expected the index to decline to 51.5.
A reading above 50 indicates a rise in the pace of activity, below 50 indicates a contraction in the pace of activity.
The supplier deliveries index was up to 53.3 in May from 46.8 in April, while employment index declined to 49.3 from 49.9.
The prices index climbed to 63.1 in May from 53.9 in April, while inventories declined to 49.6 from 52.3.
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