Commodity-based firms feeling much more robust about future than others: survey

Commodity-based firms feeling much more robust about future than others: survey


OTTAWA - The Bank of Canada says its latest survey of business conditions reveals a divide developing between commodity-based firms and others. The quarterly survey shows firms remain positive overall that their sales will accelerate in the next year, but only moderately, and fewer firms expressed optimism than three months ago. The survey finds that sales expectations are generally more robust among companies associated with commodities, especially those in the oil and mining sectors. Canadian businesses told the bank they face considerable headwinds this year, including moderate demand and strong competition.However, more firms than not reported sales picked up over the past 12 months and a small majority continue to believe the pace will continue to increase in the next year. As well, they expect to increase hiring in the next 12 months, and report that credit conditions continue to ease.