Canada retail sales for December 2019
- prior report was 0.9% (was better than 0.6% estimate) revised to 1.1% from 0.9%
- Retail sales ex auto for December 0.5% versus 0.3% estimate. Prior was revised higher to 0.5% from 0.2%.. October retail sales fell -1.0%
- for the 4th quarter sales fell -0.2% despite higher prices with volumes down -0.5% on the quarter
- Building materials biggest retail upside
- gasoline was the biggest drag
- share of online sales climbed to record 4.7% of Canadian total retail sales
- cannabis sales rise 8.1% month on month. Total 1.2 billion in 2019
- For the year retail sales were sluggish ending the yearwith a gain of 1.6%, which is the slowest pace since the 2009 recession and the most sluggish increase in receipts outside of the recession since at least 1992
- sales were up in 7 of the 11 categories
- building materials +3.8%
- motor vehicle and parts -1.3%
- gasoline stations -2.3%
The slow consumer has prompted the Bank of Canada to lower their expectations. Traders are pricing in at least one interest rate cut of the next 6 months. Economists blame high debt burdens
