Canadian consumers appear to be quickly rolling back their spending as the Bank of Canada’s higher interest rates start to bite into more household budgets, Bloomberg News reported. Receipts for retailers dropped 0.3% in August, the first decline since March, according to an advance estimate from Statistics Canada released Friday. That followed a 0.3% increase a month earlier, which missed the median estimate of 0.4% in a Bloomberg survey. Sales rose in seven of the nine subsectors in July, and were led by increases at food and beverage retailers.

Canadian autoworkers ratified a new labor agreement with Ford Motor Co. on Sunday, averting a threatened strike and potentially setting a precedent that could play out in the United Auto Workers' strike at automaker facilities in the U.S., the Associated Press reported. The new agreement raises base hourly pay for production workers by almost 20% over three years, and by more than 25% for trade workers, the Canadian autoworker union Unifor said. It also gives permanent workers a $10,000 bonus and adds a cost-of-living adjustment, a mechanism that adjusts wages in line with inflation.

Drugmaker Mallinckrodt said on Thursday that it had initiated examinership proceedings in the High Court of Ireland, as it seeks protection from actions taken by creditors during the chapter 11 bankruptcy process, Reuters reported. The Ireland-based company filed for its second bankruptcy in the United States last month, with a restructuring plan that would cut $1 billion from what it owes to victims of the U.S. opioid crisis. Read more.

The Bank of Canada on Tuesday said recent volatility in headline inflation is not unusual but the underlying trend shown by core measures was inconsistent with bringing inflation down to the 2% target, Reuters reported. Earlier on Tuesday, August inflation figures showed a jump in the headline number to 4.0% from 3.3% in July - higher than most analysts had forecast - on rising gasoline prices. "Ups and downs of the size we've seen in the past couple of months are not that unusual," Deputy Governor Sharon Kozicki said in a speech at the University of Regina in Saskatchewan.

U.S. authorities are seeking evidence from Credit Suisse to assess whether the bank misled investors about its financial health as it teetered towards a state-backed rescue by UBS six months ago, Reuters reported. Credit Suisse "has received requests for documents and information" from agencies including the U.S. Securities and Exchange Commission, the U.S. Justice Department and Swiss regulator FINMA, UBS said in a financial filing on Aug. 31. In the note, part of UBS's 124-page second-quarter report, UBS also said that three U.S.

Mexico's economy grew in August by 3.4% compared with the same month a year earlier, and by 0.2% from the previous month, according to a preliminary estimate published by national statistics agency INEGI on Tuesday, Reuters reported. A breakdown of INEGI's preliminary data showed that secondary activities, which include manufacturing, increased in August by 4.8% on the year, while tertiary activities, which encompass the service sector, were up by 2.8%. Read more.

Chinese developer Sunac China Holdings has filed for chapter 15 protection from creditors in a U.S. bankruptcy court, court documents showed, Reuters reported. Creditors of Sunac China Holdings approved its $9 billion offshore debt restructuring plan on Monday, marking the first approval of such debt overhaul by a major Chinese property developer.

Distressed Chinese developer Country Garden Holdings Co. has passed an initial deadline to pay dollar bond interest with holders yet to receive the money, keeping the threat of a first default looming, Bloomberg News reported. The builder, which has become a symbol of China’s broader property debt crisis, had to pay $15.4 million of interest by Monday on the note. Two holders said they hadn’t gotten payment as of 3 p.m. Hong Kong time Tuesday. Country Garden didn’t comment when reached. There’s a 30-day grace period before a default can be called.

Canada’s rate of inflation accelerated by more than expected for the second straight month, but the gains that are largely driven by higher gasoline prices may allow the Bank of Canada to look past the setback, Bloomberg News reported. The consumer price index rose 4% in August from a year ago, the quickest pace since April, following a 3.3% increase in July, Statistics Canada reported Tuesday in Ottawa. That’s faster than the median estimate of 3.8% in a Bloomberg survey of economists. On a monthly basis, the index rose 0.4%, double the expectations.

Canada's Liberal government, trailing in the polls amid complaints about the high cost of living, on Monday said it would soon introduce wide-ranging draft legislation designed to help curb inflation, Reuters reported. Prime Minister Justin Trudeau last week announced a tax break designed to boost the construction of new rental apartment buildings and relieve pressure on the Canadian housing market. Later on Monday, the heads of major grocery chains will meet government ministers who are demanding to see a plan to counter soaring food prices.