Canada: Surprise surge in wholesale sales in September – TDS

Analysts at TD Securities note that Canada’s wholesale sales surprised to the upside with a 1.0% MoM advance in September (TD: +0.6%, market: unchanged).

Key Quotes

“Details were upbeat with an increase in 5 of 7 categories, led by a 4.4% increase in M&E (+4.4%) which bodes well for non-residential investment into year-end. Real wholesale sales rose by 0.9%, which introduces some upside risk to our 0.1% m/m forecast for industry-level GDP in September.”