Canada: Slowing trend in retail sales continues – RBC CM

Nathan Janzen, senior economist at RBC Capital Markets, notes that the Canadian retail sales edged 0.1% lower in December, although were a somewhat stronger +0.2% excluding price effects. 

Key Quotes

“A drop in gasoline prices explained almost all of a 3.6% drop in sales at gasoline stations.  Motor vehicle sales increased 1.0% but electronics sales fell 4% after rising 2.1% in November.”

“For all of 2018 the volume of retail sales increase by 0.7% — well-below the almost 6% increase in 2017.   And more recent trends have been if anything softer.  Retail volumes were unchanged in the fourth quarter.”