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- Canada’s retail sales drop more than forecast in December
Canada’s retail sales drop more than forecast in December
Statistics
Canada announced on Friday that the Canadian retail sales fell 3.4 percent
m-o-m to CAD53.38 billion in December, following an unrevised 1.3 percent m-o-m
advance in November.
Economists had
forecast a 2.5 percent m-o-m decline for December.
According to
the report, sales decreased in 9 of 11 subsectors in December, accounting for 83.6
percent of total retail sales. Sales at motor vehicle and parts dealers
declined 1.4 percent m-o-m, recording their largest decline since April.
Meanwhile, sales at gasoline stations rose 0.3 percent m-o-m in December,
recording their first increase in four months. Excluding motor vehicle and
parts dealers, retail sales fell 4.1 percent m-o-m in December compared to a 2.1
percent m-o-m gain in November and economists’ forecast for a 2.0 percent m-o-m
decrease. Core retail sales, which excludes gasoline stations and motor vehicle
and parts dealers, decreased 4.6 percent m-o-m in December, hurt by
lower sales at sales at general merchandise stores (-7.6 percent m-o-m) and
clothing and clothing accessories stores (-17.0 percent m-o-m), as well as
sporting goods, hobby, book and music stores (-22.5 percent m-o-m).
In y-o-y terms,
Canadian retail sales climbed 3.3 percent in December, following an unrevised 7.5
percent surge in November.
In 2020,
Canadian retail sales declined 1.4 percent y-o-y to CAD606 billion. This was
the largest annual decline since the 2009 recession.
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