Auto sales boost retail
Shoppers buying new cars and trucks helped boost retail sales in May by 1.0 per cent to $43 billion in Canada, the third increase in four months, Statistics Canada said Thursday.
The rise in retail sales was better than the 0.5 per cent increase that had been expected by economists, according to Thomson Reuters.
"While not a big upside surprise, the mildly encouraging retail results break a run of sour news for the Canadian economy,’’ BMO chief economist Doug Porter wrote in a commentary.
"The decent result also plays up the fact that the consumer is still doing its job _ now the economy needs some serious help from non-resource exports.’’
Retail sales were up in nine of 11 subsectors, representing 92 per cent of retail trade.
In volume terms, Statistics Canada says sales were up 0.4 per cent after removing the effects of price changes.
Sales at motor vehicle and parts dealers rose 1.3 per cent, boosted by a 2.0 per cent increase at new car dealers.