BRITISH COLUMBIA – Canadian retail sales decreased by 0.8 per cent to $69.6 billion in July compared to the previous month. Compared to the same time last year, retail sales were up by 4.0 per cent. Furthermore, core retail sales, which exclude gasoline and automobile items, were down 1.2 per cent month-over-month. In volume terms, adjusted for rising prices, retail sales decreased by 0.8 per cent in July.
Retail sales in British Columbia were down 0.8 per cent in July from the previous month and rose by 7.6 per cent compared to the same time last year. In the CMA of Vancouver, retail sales were down 1.6 per cent from the prior month and were 8.9 per cent above the level of July 2024.
July’s report contributes to a broader trend of sizeable monthly volatility in Canadian retail sales, with retail activity decreasing in eight out of nine major subsectors compared to June. Moreover, weakness in core retail sales may be indicative of a weakening Canadian labour market and economy as households adapt to a dimmer outlook for the year’s final quarter. After cutting the overnight rate earlier this week, the Bank of Canada will monitor how core inflation and growth evolve before forming a policy stance for its meeting in October.
Source: bcrea.bc.ca
