Canada Household Spending Set to Cool Sharply -- Market Talk

1237 ET - Economists at National Bank of Canada are unsure whether Canadian households can keep up the present pace of consumption. Statistics Canada signals that retail sales are set to climb for six straight months when official June data are released. NBC notes annual inflation-adjusted compensation growth in 2Q rose at its slowest pace since the start of the post-pandemic recovery. The firm says the normalization of wage growth, stagnant population growth and a resurgence in energy prices are likely to eating into households spending power.Households may turn out to be "the weak link in the economy," the firm says. (paul.vieira@wsj.com; @paulvieira)

(END) Dow Jones Newswires

July 24, 2026 12:37 ET (16:37 GMT)