‘We still have ground to recover. I think there’s more room to grow before we’re going to peak out.’ – Todd Hirsch, ATB Financial
Canadian wholesale sales rose less than expected in the third month of the year, data revealed on Tuesday. Statistics Canada reported that the value of Canadian wholesale trade climbed 0.9% in March, surpassing the C$60B mark for the first time, up from the preceding month’s upwardly revised gain of just 0.3%. Nevertheless, March’s figure missed analysts’ expectations, as they anticipated an increase of 1.1% during the reported month. In volume terms, sales were up 0.6% in March. Gains were registered in four out of seven subsectors, representing 60% of the wholesale trade total. Sales of building materials and supplies surged 3.9%, boosted by higher demand for lumber, millwork and hardware as well as metal services. In the meantime, sales of beverages and tobacco increased 1.1% between February and March. However, two biggest subsectors posted unexpected drops. Sales of machinery and supplies fell 0.5%, whereas sales of motor vehicles and parts plunged 0.2% in March. Overall, wholesale sales were up 3.6% year-over-year in the Q2, the biggest quarterly gain since the second quarter of 2008.
