Bank of Canada poll: higher sales growth, uncertain investment
OTTAWA Oct 11 (Reuters) - More Canadian businesses expect higher sales growth and employment and capacity pressures in the next 12 months but uncertainty continues to weigh on their investment decisions, a Bank of Canada poll showed on Friday.
The survey of senior managers of about 100 firms, taken from Aug. 26 to Sept. 19, showed that they see a gradual U.S. recovery boosting sales prospects but only in a limited way, while persistent weakness in domestic demand restrained sales expectations.
Still, 52 percent expect higher sales growth and 26 percent the same, an improvement over the respective figures of 42 percent and 24 percent reported in the second quarter.
Eighty-seven percent of firms now expect their employment to be the same or higher as over the past 12 months, down from 91 percent in the second quarter, but just over three in 10 firms now report labor shortages restricting their ability to meet demand, compared with two in 10 in the second quarter. (Reporting by Randall Palmer; Editing by Chris Reese)