Retail sales data unlikely to shift Bank of Canada rate path
Brokers tracking the Bank of Canada’s rate-hold signals and their impact on borrowing costs will note that the June reading, on its own, does not hand policymakers an obvious reason to ease.
General merchandise retailers led the advance, up 2.7%, while clothing, footwear, and jewellery retailers gained 3.1%.
Motor vehicle and parts dealers posted a 1.0% increase, their third consecutive monthly gain, driven by new-car sales.
Gasoline drag masks strength in core categories
Not all subsectors shared in the gains. Gasoline stations and fuel vendors reported a 4.1% decline in receipts, their first drop in roughly four months, though volumes in the subsector rose 4.2%, a discrepancy that reflects lower pump prices rather than reduced fuel demand.
Food and beverage retailers slipped 0.4%, led by a 0.6% decline at supermarkets and grocery stores following a 0.8% gain in May.
