Economists expected a 0.5 per cent gain in retail sales, instead the economic sector hit an unexpected decline in June of 0.1 per cent. This strengthens the idea that constricted growth in the second quarter took a toll on consumers.
“It just suggests that maybe the Canadian consumer is growing a bit tired of carrying the burden of growth,” said David Watt, chief economist at HSBC. Regardless economists are staying hopeful for the consumer, “With Ottawa sending out the first of the Child Care Benefit checks in July, there’s reason to be optimistic on the second half of the year,” mentions Nick Exarhos, economist at CIBC.
The Alberta wildfires, and oil production are still looked at to possibly be the reason for the struggle in grown lately, but things are expected to look more positive in third quarter.
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