Canada May retail sales -0.1% vs +0.3% expected

Author: Adam Button | Category: News

Canada May 2019 retail sales data

Canada May 2019 retail sales data
  • Prior was +0.1% (revised to +0.2%)
  • Ex autos -0.3% vs +0.3% expected
  • Prior ex autos +0.1% (revised to 0.0%)
  • Sales down in 4 of 11 subsectors
Poor numbers but it's the first decline in four months and May weather was poor in the bulk of the country. Still, the market isn't liking it and USD/CAD shot up to 1.3095 from 1.3060 before the data. The loonie can brush off falling oil, or weak data; but it can't withstand both.

Digging into the details, the big drag was lower sales at food and beverage stores, which were down 2.0% as supermarkets fell 2.0% and beer, wine and liquor stores declined 2.7%. Separately, closing stores were also soft, down 2.7% and general merchandise stores -1.1%.

Others:
  • Furniture and home furnishing stores +0.5%
  • Electronics and appliance stores +1.2%
  • Building material stores +0.2%
  • Health and personal care stores +0.8%
  • Gasoline stations +3.5%
  • Sporting goods and hobby stores -1.9%
  • Miscellaneous store retailers (online) +1.3%
Looking through the details, there is less concern than the headline. There were gains at the more economically-sensitive spots. A drop in supermarket sales looks like an anomaly.

It's still strange to read something like this in the official report: "Sales at cannabis stores (+14.8%) rose in May, surpassing $85 million. This increase marked the third consecutive month of double-digit growth." How could food sales be so low with those kinds of numbers?

ForexLive
By continuing to browse our site you agree to our use of cookies, revised Privacy Notice and Terms of Service. More information about cookiesClose