Loonie Tumbles After Canadian Retail Sales Crumble
Amid the absence of US macro data due to the shutdown, it seems Canada (and China) are making up for it – by crushing the goldilocks dream.
Canada retail sales fell 0.9% to C$50.4B in November, according to Statistics Canada (which did not need to ask the US for the data this time). This was well below the expected decline of 0.6% and Retail sales from August to October were all revised downwards.
Sales fell in 6 of 11 subsectors, representing 75% of total retail trade
- Largest upside contributor on month was the general merchandise category, 0.20 percentage points
- Largest downside contributor on month was the gasoline stations category, -0.53 percentage points
And the reaction was immediate weakness in the Loonie…
On the bright side, Cannabis sales total C$54 million in November.
