1027 ET - A solid start to the year for retail sales in Canada may be evidence that last year's interest rate cuts, combined with the slight reduction in unemployment since mid-2025, is supporting an upturn in consumer sentiment and spending, CIBC Capital Markets' Andrew Grantham says. Retail trade was up in January and an advance estimate points to further strength in February, which Grantham says may result in the strongest gain in retail sales volumes since at least 4Q 2024. Looking forward, the economist says the recent jump in gasoline prices will flatter the headline nominal retail sales figures in the coming months, but the squeeze to disposable incomes is likely to restrict purchases of other products and subdue overall sales.(robb.stewart@wsj.com; @RobbMStewart)
(END) Dow Jones Newswires
March 20, 2026 10:27 ET (14:27 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.

