The US manufacturing sector expanded at a slower pace in April than in March, according to the Institute for Supply Management’s purchasing managers index for US manufacturing. April’s index reading registered 50.8 compared to March’s reading of 51.8.

Readings above 50.0 indicate expansion.

“The downtrend in the index which began in late 2014, is now over,” MarketWatch quoted Ian Shepherdson, chief economist at Pantheon Macroeconomics, as saying, “but we doubt manufacturing is about to stage a serious recovery.”

Looking at just the employment portion of the index, it improved in April to a reading of 49.2 from its reading of 48.1 in March. However, the April reading still pointed to lack of expansion.

Canada PMI edges up

The Royal Bank of Canada’s Canadian manufacturing purchasing managers’ index rose to a reading of 52.2 in April, up slightly from 51.5 in March and above the 50-point no-change level for the second consecutive month. Although indicative of a moderate improvement in business conditions, the latest reading was the strongest since December 2014.

“The recent trend in Canadian manufacturing is encouraging with an improvement in output, new orders and employment,” said Craig Wright, senior VP and chief economist, RBC. “This pickup in activity has come alongside solid US domestic demand and a more competitive currency which supports export activity.”

Job creation gathered pace across the manufacturing sector in April, as highlighted by the strongest upturn in payroll numbers since December 2014.

The RBC PMI is a monthly survey conducted in association with Markit, a financial information services company, and the Supply Chain Management Association. It is based on data compiled from monthly replies to questionnaires sent to purchasing executives in more than 400 industrial companies.