Think about it, while wholesale sales rose (5th consecutive month), virtually all the growth came from the miscellaneous segment (BTW this is mostly an agricultural sector) -- too inconsequential to be enumerated, the melting pot of the the wholesale sector. One sector is hurting, and it's a critical one: machinery, equipment and supplies -- that's gone down (again).
Wholesale Sales September 2011
Needless to say that since Misc. is mostly agricultural, the gains were mostly in Canada's Western provinces. It's still a good report, although worrying for the rest of Canada -- the recent weakness of the CAD should help the manufacturing sector -- assuming that the world doesn't end (odds are good).
Although this week should be fascinating. Greece has a right wing government (we're not talking garden variety, but the extreme -- you know think of the more nutty element of the GOP), Spain has a new center right (majority) government. Yields are rising in France, Italy and Greek bonds are also having fun -- with a French downgrade looking increasingly likely. Watch some of the French banks this week, as investors realize that nationalization cannot be far off (not that they can afford it -- if you thing the UK and Irish were screwed by the size of their bank bail out -- child's play compare to France...).
Then you've got 'Merica and its "Supper Committee" that will come out tomorrow with "no agreement" -- was there ever any doubt about this...