OTTAWA, May 20 (Reuters) - Canadian retail sales fell more
than expected in March, after two months of strong gains, as
consumers bought fewer cars and home furnishings, data from
Statistics Canada showed on Friday.
The 1.0 percent decline exceeded economists' forecasts for a
decrease of 0.6 percent, though February was revised slightly
higher to a gain of 0.6 percent. In volume terms, sales in March
declined 1.3 percent.
Sales at car and parts dealers dropped 2.9 percent as
Canadians bought fewer new and used cars. Excluding autos,
overall sales were down just 0.3 percent.
Purchases at furniture stores tumbled 3.7 percent, while
lower prices pulled sales at gasoline stations down 1.1 percent
to their lowest since August 2010. Overall, sales were down in 6
out of 11 sectors, making up 74 percent of retail trade.
Although first-quarter growth is expected to have been
relatively strong, recent data, including Friday's retail sales
report, has suggested the economy began to cool heading into the
second quarter.
The recent wildfires in Alberta that have disrupted oil
production in the region are expected to further damp down
growth in the second quarter, but economists expect to see a
rebound in the latter part of the year.
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Graphic - Canada economic dashboard http://graphics.thomsonreuters.com/15/sc-canada/index.html
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>