Canada’s core retail sales growth slowed sharply in December 2025, easing to 0.1% month-over-month from a robust 1.6% increase in November, according to data updated on 20 February 2026. The core measure excludes volatile categories and is closely watched as an indicator of underlying consumer spending momentum.
The December reading suggests that Canadian consumers pulled back after a strong November, with the pace of spending growth nearly flat on a monthly basis. On a month-over-month comparison, the “actual” figure reflects December’s change versus November, while the “previous” figure captures November’s change relative to October, highlighting a clear loss of traction in core retail activity at year-end.
The abrupt cooldown in December may prompt markets and policymakers to reassess the resilience of domestic demand going into 2026, as consumer spending is a key driver of Canada’s economic performance. Investors will be watching upcoming retail and labor market data for signs of whether this slowdown proves temporary or marks the start of a softer trend in household consumption.
