Retail sales across Canada rose 1.1% to $70.7 billion in January, driven largely by higher sales at motor vehicle and parts dealers.
Statistics Canada said that retail sales increased in six of nine economic subsectors during January. However, the motor vehicle and parts dealers subsector posted the largest gain at 2%.
Core retail sales, which exclude gasoline stations and fuel vendors, rose 0.9% in January.
The core reading was driven by sales at sporting goods, hobby, musical instrument, book, and miscellaneous retailers, which increased 2.6%.
Food and beverage retailers posted the largest decline in core retail sales, down 0.6%, while sales at supermarkets and other grocers fell 0.7%.
Retail sales grew in all Canadian provinces during January, with Alberta posting the largest gain.
Statistics Canada added that a preliminary estimate for February pointed to a retail sales gain of 0.9%, though it cautioned that figure would be revised in coming weeks.
Retail sales are viewed by economists as a bellwether for the Canadian economy and provide a snapshot into the health of the consumer.
