Canada

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Canada Wholesale Sales Fall 1.6% in August, Slightly Worse Than Expected

Canadian wholesale sales declined 1.6% month over month in August, slightly weaker than the 1.5% contraction expected by economists.
The drop also marked a reversal from the previous month’s 0.4% increase, pointing to softer activity in the wholesale sector.

The result suggests some loss of momentum in goods distribution and business demand heading into the end of the third quarter.
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Canada Building Permits Jump 8.8% in August, Beating Expectations

Canadian building permits rose 8.8% month over month in August, significantly above the 2.9% increase expected by economists.

The gain marked a sharp rebound from the previous month’s 15.8% decline, suggesting renewed momentum in planned construction activity after a weak July.
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Canada Employment Falls Sharply in September as Unemployment Holds at 6.5%

Canada lost 68,300 jobs in September, a much weaker result than the 6,100 increase expected by economists and following a 41,700 decline previously.

Despite the sharp drop in employment, the unemployment rate held at 6.5%, matching expectations but edging up from 6.4% in the prior month.

The data point to continued weakness in the Canadian labor market. Two consecutive months of sizable employment losses suggest hiring momentum has deteriorated, even though the unemployment rate has not yet moved materially higher.
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Canada Posts Larger Trade Surplus While Ivey PMI Signals Slower Growth

Canada’s trade surplus widened sharply to C$4.20 billion in August, well above expectations for C$1.50 billion and up from C$0.79 billion in the previous month.

The stronger-than-expected trade balance suggests net exports provided a more favorable contribution to economic activity during the month, with the surplus expanding substantially beyond market forecasts.

Separately, Canada’s Ivey PMI fell to 58.2 in September from 64.3 in August and missed expectations for 65.2.

Despite the decline, the index remained comfortably above the 50 level that separates expansion from contraction, indicating that Canadian business activity continued to grow, albeit at a slower pace.

Taken together, the data present a mixed picture: external trade improved materially in August, while the September PMI suggests some moderation in domestic economic momentum.
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Canada GDP Stalls in July, August Estimate Points to Modest Rebound

Canada’s economy was unchanged in July, with monthly GDP growth at 0.0%, matching market expectations but slowing from a 0.3% increase previously.

The flat reading suggests economic momentum weakened at the start of the third quarter, with overall activity failing to expand during the month.

An early estimate for August was more encouraging, however, pointing to 0.2% monthly growth. If confirmed, that would suggest the economy regained some momentum after July’s pause.

For markets, the mixed picture may keep expectations for Bank of Canada policy balanced. The weak July reading supports the case for easier policy, while the August rebound estimate suggests the economy is not deteriorating sharply.
Canada Wholesale Sales Fall 1.5% in August

Canada’s wholesale sales declined 1.5% month over month in August, reversing the previous month’s 0.3% increase.
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Canada Retail Sales Fall in July, but August Estimate Points to Strong Rebound

Canadian retail sales declined 0.7% month over month in July, slightly better than the 0.8% contraction expected but reversing the previous month’s 0.6% increase.

Core retail sales, which exclude some volatile components, also fell 0.7%, missing expectations for a 0.5% decline and weakening from a 0.5% gain previously.

The July figures point to softer household spending momentum, but an early estimate for August showed retail sales rebounding 1.3% month over month.

The mixed data suggest consumer demand weakened in July but may have recovered quickly in August. For markets, the stronger August estimate partly offsets the softer July report and may limit the extent to which the data reinforce expectations for easier Bank of Canada policy.
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Canada New Housing Prices Fall 0.1% in August

Canada’s New Housing Price Index declined 0.1% month over month in August, matching the previous month’s decrease.

The reading suggests that pricing conditions in the new-home market remained soft, with builders facing continued affordability constraints and cautious buyer demand.
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Canada Housing Data Weakens as Building Permits Plunge 17.3%

Canada’s housing sector showed renewed weakness, with housing starts coming in at an annualized 229,000 units in August, below expectations of 243,000 and little changed from the previous month.

Building permits delivered a much larger downside surprise, plunging 17.3% month over month in July compared with expectations for a 4.7% decline, reversing the previous month’s strong 18.3% increase.

The figures add to signs of cooling in Canada’s housing market. Overall, the sharp decline in permits and softer construction activity suggest that residential investment could remain under pressure in the coming months, particularly if borrowing costs stay elevated.
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Canada Wholesale Sales Rise 0.3% in July, Beating Expectations

Canadian wholesale sales unexpectedly increased in July, providing a more resilient signal for economic activity at the start of the third quarter.

Wholesale sales rose 0.3% month over month to C$93.1 billion, beating expectations for a 0.5% decline, though growth slowed sharply from June’s 2.8% increase.
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