Canadian retail sales look set to fall after seven months of gain

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A shopper leaves a Canadian Tire in Toronto. Retail sales in Canada increased in June.A shopper leaves a Canadian Tire in Toronto. Retail sales in Canada increased in June. Photo by Peter J Thompson/National Post

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Retail sales in Canada increased by 0.6 per cent to $74.3 billion in June, with gains recorded in a broad swath of subsectors, said Statistics Canada Friday.

Financial Post

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But the initial flash estimate for July suggest sales fell by 0.8 per cent the following month, the first decline in seven months.

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Statistics Canada said this figure may be revised.

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In June, general merchandise retailers led the gains, rising 2.7 per cent. Seven out of nine subsectors also posted gains that month.

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The largest drop in retail sales was at gasoline stations and fuel vendors, which posted a 4.1 per cent decline, the first drop in about four months. In volume terms, however, sales increased by 4.2 per cent in this subsector in June.

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Sales at food and beverage retailers were also down by 0.4 per cent. Statistics Canada officials said the decline was led by sales at supermarkets and other grocery retailers, which were down by 0.6 per cent in June following a 0.8 per cent increase in May.

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In volume terms, retail sales increased by 1.5 per cent in June.

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