Canada Consumer Spending Falters as July Sales Decline - BBG https://t.co/X4VKy38A5H
Canadian retail sales are set to decline further after a weak second quarter, capturing a slowdown in consumption spending amid elevated trade uncertainty and slowing population growth https://t.co/KXQ819KX9g
Canada Q2 Retail Sales Rose 0.4%, Slowest Since Q2 2024
Canadian consumer spending rebounded in June, with seasonally adjusted retail sales rising 1.5% from May to C$70.2 billion, Statistics Canada said. The gain matched economists’ median forecast and followed a revised 1.1% decline the previous month. Sales excluding motor vehicles and gasoline climbed 1.9%, comfortably above expectations of about 1%, helped by broad-based increases across all nine subsectors. Food and beverage stores led the advance, up 2.3%, while clothing retailers added 5.1% and general merchandise outlets gained 1.6%. Provincially, Ontario recorded the biggest uptick, with receipts up 3.2%; Saskatchewan posted the largest drop at 1.4%, partly reflecting wildfire disruptions. In volume terms, overall sales also rose 1.5%, indicating real growth rather than price effects. Despite the monthly bounce, retail activity is losing momentum. Sales edged just 0.4% higher in the second quarter, the weakest pace since early 2024, as elevated trade uncertainty and slower population growth weighed on consumption. Statistics Canada’s advance estimate suggests a 0.8% pullback in July, underscoring the softening trend that the Bank of Canada will monitor ahead of its next policy decision.
