(OTTAWA) Retail sales in Canada rose 1.1% to $63.1 billion in June, boosted by higher sales at gas stations and motor vehicle and parts dealerships, Statistics Canada said Friday.
Posted at 9:08
However, the federal agency’s preliminary estimate for July suggests that retail sales for that month fell 2.0%, but that figure will be revised.
Retail sales had had a surprisingly strong month in June, although that was due to higher prices while volumes were low, observes economist Shelly Kaushik of the Bank of Montreal.
Retail sales in volume rose 0.2% in June.
“Still, it looks like retail sales will contribute to growth in the second quarter. However, the flash estimate for July points to a weaker start to Q3,” Ms.me Kaushik in a report.
In June, rising prices helped gas station sales jump 3.9% for the month, even as their volume sales fell 1.3%.
Meanwhile, sales at motor vehicle and parts dealers rose 1.8% in June, boosted by increases of 2.9% for new cars and 1.7% for used ones.
Core retail sales—which exclude gas stations and motor vehicle and parts dealers—increased 0.2%.
General merchandise stores rose 1.1% in June, while clothing and clothing accessories stores rose 1.8%, helped by a 2.1% rise in clothing stores and a 2.4% increase for jewellery, luggage and leather goods.
Sales at food and beverage stores fell 1.1% in June, with sales at supermarkets and other grocery stores falling 0.8% and those at beer, wine and liquor stores falling 2.9 %.
Retail sales rose in seven of Canada’s provinces in June, including 0.4% in Quebec and 1% in Prince Edward Island. They did not change in New Brunswick, whereas they fell by 0.3% in Nova Scotia.