Close X
Monday, November 25, 2024
ADVT 
National

Statistics Canada Says Wholesale Sales Unchanged In July At $55.4Billion

The Canadian Press, 21 Sep, 2015 11:05 AM
    OTTAWA — Canadian wholesale sales fell short of expectations in July as they held steady for the month at $55.4 billion, a hiccup among signs the economy is improving after a weak start to the year.
     
    Economists had expected a gain of 0.7 per cent, according to Thomson Reuters.
     
    Statistics Canada said three subsectors posted gains, led by the machinery, equipment and supplies group, to offset losses in other sectors.
     
    In volume terms, wholesale sales fell 0.4 per cent.
     
    "Still, despite the slight disappointment in today's wholesaling data, the strong gain in manufacturing volumes reported last week, in addition to the healthy readings we expect from retailing to be released on Wednesday, still augur for a decent July GDP advance," CIBC economist Nick Exarhos wrote in a brief note.
     
    "That, in addition to the strong hand-off from the end of the second quarter, supports our view for a 2.7 per cent growth pace in the third quarter."
     
    The machinery, equipment and supplies subsector gained 1.0 per cent to $11.3 billion, its second consecutive increase, helped by the computer and communications equipment and supplies industry.
     
    Wholesale sales in the motor vehicle and parts subsector rose 0.2 per cent to $10.3 billion in July, while the miscellaneous subsector rose 0.3 per cent to $7.0 billion.
     
    The food, beverage and tobacco subsector had the largest decrease in dollar terms as it slipped 0.5 per cent to $10.7 billion.
     
    The weaker than expected wholesale sales results came as TD Bank downgraded its outlook for the economy this year to growth of 1.2 per cent from its June forecast of 1.6 per cent.
     
    "Next year will see a return to growth of about two per cent, still about 0.3 percentage points lower than our June call," TD said in a report.
     
    "Exports are a key underpinning to this firmer economic backdrop, highlighting Canada's increasing dependence on factors outside our borders to propel growth."
     
    TD predicted the Bank of Canada would keep its key interest rate at 0.5 per cent until 2017.
     
    In its latest monetary policy report, the Bank of Canada has forecast growth of 1.1 per cent this year and 2.3 per cent in 2016.

    MORE National ARTICLES

    Trial To Resume For Boy Charged In Death Of Cape Breton Teen Who Fell Under Bus

    Trial To Resume For Boy Charged In Death Of Cape Breton Teen Who Fell Under Bus
    The 15-year-old defendant is accused of pushing the older boy under the wheels of a moving school bus outside Sydney Academy last winter.

    Trial To Resume For Boy Charged In Death Of Cape Breton Teen Who Fell Under Bus

    Reported Distress Call By Plane In Southern Alberta Not True: Air Force

    Reported Distress Call By Plane In Southern Alberta Not True: Air Force
    A report of an aircraft distress call that prompted officials to close part of the Trans-Canada Highway in Alberta for a possible emergency landing has turned out to be false.

    Reported Distress Call By Plane In Southern Alberta Not True: Air Force

    Opposition Parties Warn Sale Of Hydro One Will Drive Electricity Rates Higher

    The Progressive Conservatives and the New Democrats are opposed to the sale of Hydro One, warning it will lead to higher electricity prices.

    Opposition Parties Warn Sale Of Hydro One Will Drive Electricity Rates Higher

    Guy Turcotte, Quebec Doctor Set To Stand Trial A Second Time In The Deaths Of His Two Children

    Jury selection is set to begin Monday in the second trial of a former Quebec cardiologist who is charged with first-degree murder in the slayings of his two children.

    Guy Turcotte, Quebec Doctor Set To Stand Trial A Second Time In The Deaths Of His Two Children

    Deadline Approaches For Toronto To Declare Interest In Bidding For Olympics 2024

    The premier of Ontario says she hasn't decided whether her government will support an Olympic bid by the city of Toronto if one is made.

    Deadline Approaches For Toronto To Declare Interest In Bidding For Olympics 2024

    Groups To Protest Removal Of Historic Ruins Near Montreal Highway Construction Site

    Groups To Protest Removal Of Historic Ruins Near Montreal Highway Construction Site
    Archeologists unearthed the ruins of the former village earlier this summer. 

    Groups To Protest Removal Of Historic Ruins Near Montreal Highway Construction Site