Lower gasoline prices pushed Canadian retail sales down in July after two months of robust gains.
Retail sales in current dollars fell 0.6% to $34.2 billion in July, compared with $34.4 billion in June. Year over year, Canadian retail sales fell 4.9% in July.
B.C. retail sales fared slightly worse than in the rest of Canada, falling 0.8% in July compared with June. B.C. retail sales fell 7.8% in July compared with July 2008.
Most of the decline reflected lower prices at the gasoline pump. Although shoppers also reined in spending at supermarkets and home electronics stores, according to Statistics Canada.
Canadian consumers had been showing signs of confidence. Retail sales rose in five of the first seven months of 2009 following large drops at the end of last year.
By volume, retail sales edged down 0.1% in July compared with June.
Pharmacies and personal care stores showed the largest increase (1.1%) while building and outdoor supplies stores' sales growth (1%) offset the decrease the sector experienced in June.
Nunavut was the only part of Canada where retail sales grew (1.4%) in July.