Canada’s retail sales rebounded strongly in November, rising 1.3% mom to CAD 70.4B, slightly above expectations of 1.2% mom. Gains were broad-based, with sales increasing in eight of nine subsectors, led by higher spending at food and beverage retailers, pointing to resilient consumer demand late in the year.
Underlying momentum was even firmer. Core retail sales, which exclude gasoline and autos, climbed 1.6% mom, suggesting household spending strength extended beyond volatile categories and reflecting solid discretionary demand.
However, the outlook is less upbeat. An advance estimate from Statistics Canada indicates retail sales likely -fell 0.5% mom in December, hinting that November’s surge may not have been sustained.
