Canada’s wholesale sales rise more than expected in September

Statistics Canada reported on Monday the wholesale sales rose 1.0 percent m-o-m to CAD65.09 million in September, following an unrevised 1.2 percent m-o-m decrease in August.

Economists had forecast an advance of 0.4 percent m-o-m for September.

According to the report, higher sales were recorded in five of seven subsectors, accounting for 82 percent of total wholesale sales. The machinery, equipment and supplies (+4.4 percent m-o-m), the personal and household goods (+1.0 percent m-o-m), and the food, beverage and tobacco (+0.6 percent m-o-m) subsectors contributed the most to the gain in September, while the motor vehicle and motor vehicle parts and accessories subsector (-0.8 percent m-o-m) showed the largest drop. Excluding motor vehicle and parts, wholesale sales grew 1.4 percent m-o-m in September.

In the third quarter, sales rose 0.8 percent, recording the fourteenth consecutive quarterly increase.

At the same time, wholesale inventories decreased 0.7 percent m-o-m in September. Inventories were down in five of seven subsectors, representing 53 percent of total wholesale inventories. Inventories dropped 0.9 percent in the third quarter, following 12 consecutive quarterly advances.