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OTTAWA, Sept 23 (Reuters) - Canadian retail sales rose for
the third month in a row in July, driven by increased purchases
at new car dealers and clothing stores, data from Statistics
Canada showed on Wednesday.
The 0.5 percent increase matched economists' forecasts, but
sales excluding motor vehicle and parts dealers were flat. In
volume terms, sales rose 0.2 percent.
The motor vehicle and parts subsector climbed 2.0 percent,
boosted by a 2.7 percent increase in new car sales. The
subsector has risen for six months in a row, with the gains
largely due to higher sales of new trucks.
Sales at clothing and accessories stores rose 2.5 percent,
the first increase in three months. Purchases at electronics and
appliance stores edged down by 1.7 percent after a hefty 8.0
percent increase in June as new regulations limiting the
duration of cellphone contracts came into effect.
The Canadian economy was in a mild recession in the first
half of 2015 and the Bank of Canada has cut interest rates twice
this year to offset the shock of cheaper oil prices. The bank
forecasts growth will pick up in the second half of the year.