region, which is currently experiencing an unprecedented boom in mining exploration and mine development. This investment has also spilled over into other areas of the economy, notably housing construction.
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According to the latest residential construction investment data, total investment in residential construction in Nunavut registered an almost sixfold increase in the first six months of  ; 2007  ; compared with the same period in  ; 2006.
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Inventory-to-Sales Ratio Falls
Wholesale inventories increased  ; 0.6% in July to  ; $54.4  ; billion.
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Of  ; 15  ; trade groups,  ; 8  ; reported higher inventory levels in July. The most notable increases were in the pharmaceutical (+2.8%), “other products” (+2.3%), motor vehicles (+1.4%) and motor vehicles parts and accessories (+1.9%) trade groups. These increases were partially offset by drops in metal products (-2.9%) and computer and electronic equipment (-1.4%) inventories.
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With sales rising at an even faster pace in July, the inventory-to-sales ratio declined from  ; 1.25  ; in June to  ; 1.23  ; in July, its lowest level in four months. The pace of inventory accumulation has eased somewhat in recent months, largely the result of reductions in motor vehicles and metal products inventories.
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The inventory-to-sales ratio is a key measure of the time, in months, that would be required to exhaust inventories if sales were to remain at their current level.
Wholesale merchants’ inventories and inventory-to-sales ratio | |||||||||
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  ; | July 2006 | April 2007r | May 2007r | June 2007r | July 2007p | June to July 2007 | July 2006 to July 2007 | June 2007 equipment have dropped over  ; 17% since  ; 2002, largely the result of the appreciation of the Canadian dollar.   ; The strong demand for machinery and equipment has also helped boost profits for wholesalers in this sector. According to the latest Quarterly Survey of Financial Statistics for Enterprises, wholesalers of machinery and equipment recorded the strongest profit growth among all wholesale industries during the second quarter of  ; 2007.   ; By Sector, Province The personal and household goods sector registered its biggest increase (+4.0%) in  ; 2007, reaching  ; $6.5  ; billion, more than offsetting June’s decline (-1.7%).   ; All three trade groups in this sector contributed to the rise, led by a  ; 5.5% increase from the pharmaceutical trade group. This was the largest monthly rise so far in  ; 2007  ; for this trade group, which continues to benefit from high consumer demand.   ; Apparel wholesalers had another strong month, as sales rose  ; 4.4% in July following a  ; 5.9% increase in June. Prior to this, sales had fallen for five consecutive months after hitting a record high in December  ; 2006.   ; After declining  ; 3.7% in June, sales of household and personal goods resumed their upward momentum in July, rising  ; 2.2%. This was the fifth increase in  ; 2007  ; for this trade group. Ontario and British Columbia lead the way   ; Ontario was the main beneficiary of the pickup in the automotive sector, as strong demand for motor vehicles helped the province post its biggest increase (+2.5%) of the year, reaching  ; $22.0  ; billion, more than offsetting June’s decline (-1.1%). Notable gains were also made by wholesalers in the machinery and electronic equipment, and personal and household goods sectors.   ; July’s increase helped to offset some of the recent weakness in Ontario, where sales fell in the second quarter as a result of weaker demand for automotive products.   ; Wholesale sales in British Columbia continued their upward momentum in July, rising a further  ; 2.2% to  ; $4.7  ; billion. Higher sales of “other products”, personal and household goods, and building materials were behind most of the rise in July. Sales in the province have risen almost continuously since the start of  ; 2007.   ; After registering a substantial increase (+6.4%) in June & mdash; the first in three months & mdash; wholesale sales in Alberta rose at a more modest rate in July, up  ; 0.9% to  ; $5.5  ; billion. Higher sales in the “other products” and automotive products sectors were partially offset by weakness in the food, beverages and tobacco products sector, as well as the farm products sector.   ; In Manitoba, sales advanced  ; 8.7% in July to  ; $1.1  ; billion, all but reversing June’s decline. Higher sales of “other products” and automotive products, both of which registered significant declines in June, were behind most of the increase.   ; The picture was less rosy in Saskatchewan, where sales fell for the fourth consecutive month in July, down  ; 0.8% to  ; $1.3  ; billion. Nevertheless, sales in the first seven months of  ; 2007  ; were still up substantially over the same period in  ; 2006, following a very strong first quarter.   ; In the Atlantic Provinces, only Newfoundland and Labrador registered stronger sales in July, up  ; 7.4% to  ; $293  ; million. Rising sales of food products, as well as machinery and electronic equipment were behind most of the increase, which was the third in a row for the province.   ; Also noteworthy in July was the large increase in Nunavut, where overall sales soared  ; 238% to  ; $10.0  ; million. This increase reflected the dramatic jump in investment in theSource: Statistics Canada Following a weak second quarter, wholesale sales rebounded in July, spurred on by a turnaround in automotive sales, as well as healthy demand for machinery, and personal and household goods. Share this article
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