Statistics Canada Says Retail Sales Down 0.3% at $65.7B in June

Retail sales dropped in June as Canadians continued to grapple with high interest rates. Statistics Canada said Friday that retail sales fell 0.3 percent to $65.7 billion that month, led by a drop in sales at new car dealers. Sales at motor vehicle and parts dealers fell 2.1 percent as sales at new car dealers dropped 2.9 percent and used car dealers saw a decline of 0.6 percent. While some of the drop can be explained by a software glitch at car dealerships that held back vehicle sales, economists said financial headwinds also contributed to the fall in retail sales. “Spending remained soft in the second quarter as consumers struggled under the weight of elevated interest rates,” Bank of Montreal economist Shelly Kaushik said in a note to investors....