Data released by Statistics Canada moments ago showed a 1.2% increase in retail sales in August, reaching $74.6 billion, after a 0.7% decline in July. This figure fell short of expectations, driven by gains in auto and parts sales.

Core retail sales, which excludes gas stations and auto and parts sales, rose 1.1% in August.

The August sales increase was supported by a 1.2% rise in auto and parts sales, with new car sales climbing 1.5% after a 1.45% drop in July. Sales at gas stations also rose 1.7%, marking their first increase in three months.