Statistics Canada reported on Friday the wholesale sales rose 5.7 percent m-o-m to CAD52.57 million in May, following a revised 21.4 percent m-o-m plunge in April (originally a 21.6 percent m-o-m tumble).

Economists had forecast an 8.5 percent m-o-m advance for May.

According to the report, six of seven subsectors recorded higher sales, accounting for about 78 percent of total wholesale sales. The building material and supplies (+16.1 percent m-o-m) and the motor vehicle and motor vehicle parts and accessories (+33.4 percent m-o-m) subsectors contributed the most to the May advance. At the same time, the machinery equipment and supply subsector was the sole decliner (-4.7 percent m-o-m).

In y-o-y terms, wholesale sales decreased 17.7 percent in May.

Meanwhile, wholesale inventories dropped 1.0 percent m-o-m in May. Inventories decreased in five of seven subsectors, accounting for about 73 percent of total wholesale inventories. The inventory-to-sales ratio declined from a record 1.87 in April to 1.75 in May. In y-o-y terms, wholesale inventories edged up 0.1 percent in May.