OTTAWA (CP) – Plummeting gasoline prices and slumping

auto sales drove the total value of retail sales down 1.2 per cent in September, limiting third-quarter performance to about half the rate of the previous two quarters.

Annual sales growth was limited to 1.3 per cent in the third quarter following back-to-back quarterly increases of 2.4 per cent.

Retail sales fell to about $32.9 billion in September from $33.3 billion in August, the year’s largest monthly decline.

Sales in the automotive sector fell 5.2 per cent in September while gasoline prices plummeted 17.4 per cent, causing a record monthly decline of 12.5 per cent in the value of gasoline sales.

Statistics Canada noted that most of the decline in September was due to lower sales at gasoline stations and new car dealers. Excluding the automotive sector, retail sales actually increased by one per cent.

The overall decline was partly offset by considerable gains in the clothing and accessories stores sector (up 6.3 per cent), as well as smaller gains by miscellaneous retailers (2.2), general merchandise stores (1.2), pharmacies and personal care stores (0.7) and food-and-beverage stores (0.2).

Sales by furniture, home furnishings and electronics stores were flat in September after four months of advances, while sales fell for the first time in five months among building and outdoor home supplies stores, which fell 0.7 per cent.