Canada’s CFIB small business optimism fell in August, with the 12-month index down 3.7 pts to 47.8 and the 3-month index down 2.6 pts to 46.8, slipping back below the 50 breakeven threshold.

• Insufficient demand was cited by 49% of SMEs as the top constraint, while insurance (63%), taxes/regulation (63%), and wage costs (58%) also weighed on growth.

• Price increase expectations for the next 12 months held steady at 2.7%, and wage growth expectations were unchanged at 2.1%.

• Full-time hiring plans remained muted, with only a slight net increase in intended staffing, while part-time employment intentions stayed negative.

• Only four provinces—New Brunswick, Prince Edward Island, Quebec, and Manitoba—posted long-term optimism above 50, while most regions weakened.

• Sectoral confidence slipped broadly, with retail, manufacturing, personal services, transportation, insurance, real estate, and finance lagging, while wholesale, professional services, construction, and agriculture showed resilience.