Canada: Focus on retail sales and GDP data - TDS

According to analysts at TD Securities, Canada’s retail sales and industry-level GDP for October will provide an update on Q4 tracking, with TD slightly below consensus on retail sales where they are looking for a 0.4% increase in the headline index (market: 0.5%).

Key Quotes

“Stronger motor vehicle sales will leave the ex-autos measure up only 0.2% m/m (market: 0.2%), while higher consumer prices will see real retail sales come in below the nominal print. For industry-level GDP, TD is on consensus and looks for a 0.2% increase on a rebound in energy along with a pickup in services.”

“Lastly, the Bank of Canada's Business Outlook Survey will be published at 10:00 ET for the final update ahead of the January meeting. TD looks for a balanced tone, weighing increased confidence on the heels of the USMCA agreement and forthcoming tax relief tempered by concern over falling energy prices.”