- Previously +0.7% (revised to +0.6%)
- Previous cars -1.3% vs. -0.5% expected
- Previous excluding autos +1.8% (revised to +1.7%)
- Excluding autos and gasoline -1.4% vs. +1.4% previously
- The largest decline in sales was at food and beverage retailers (-1.9%).
- Sales also fell in May at building materials, garden equipment and supplies retailers (-2.7%) and general merchandise retailers (-1.0%).
- Preliminary data for June -0.3% m/m
- Full report
The market was pricing in a 95% chance of a BoC rate cut ahead of the data release, and I would say that’s a sure thing after that as the odds of continued cuts grow at the September meeting.
Canadian consumer is on the roll. In a separate report, the Scotiabank Canadian Spending Tracker ended the second quarter of 2024 on a weak note, with annual growth in June at +2.6%, the weakest since early 2021 during the pandemic.
The USD/CAD pair rose 17 pips to 1.3722, its highest level since July 1.