Canadian retail sales rose 0.8% in October to $35.3 billion, boosted by strong sales in the automotive sector, Statistics Canada said Monday.

It was the eighth gain in 10 months.

Excluding the automotive sector, sales edged down 0.2%.

All components of the automotive sector reported higher sales in October. Sales at new car dealers rose for the sixth consecutive month, gaining 3.6%. It was the first month where the value of sales at new car dealers was higher in 2009 than in 2008.

Gasoline stations registered higher sales for a third consecutive month, up 2.5%. Sales at used and recreational motor vehicles and parts dealers increased for a sixth consecutive month, up 2.1%.

Higher sales in five of the seven non-automotive sectors were more than offset by a 1.2% decline in the food and beverage sector, and a 0.9% drop pharmacies and personal care sectors. Supermarket sales were down 1.1%, partially offsetting gains made in September. Sales at beer, wine and liquor stores fell 2.2% after increases in August and September.

The largest increase outside the automotive sector was at clothing and accessories stores, where sales advanced 1.9%, the biggest gain since January 2009.

Building and outdoor home supplies stores saw their sales rise 1.2%.

Sales at general merchandisers edged up 0.2% in October after a strong increase in September.

In volume terms, retail sales increased 0.6% in October. “The volume of retail sales has returned to a level last observed before the sharp declines in the last two months of 2008,” StatsCan said.

IE