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Canada inflation

February’s inflation in Canada makes case for rate cuts

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Canada's consumer price index fell to 2.8% February, marking the second consecutive month of decline and bolstering the case for the Bank of Canada to cut rates. The decline wasn't limited to just the headline number. Core measures of inflation eased as well: Trimmed CPI, which excludes extreme price ... READ MORE >

Canada’s inflation excluding shelter hit target in January

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Canada's consumer price index report for January brought good news for consumers, businesses and the Bank of Canada alike. CPI dropped to 2.9%, led by lower year-over-year figures in gasoline prices. On a monthly basis, prices stayed flat. Consumers breathed a sigh of relief as grocery prices grew ... READ MORE >

The case for the Bank of Canada to accelerate rate cuts

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With restrictive financial conditions, high interest rates and still-elevated inflation, the Canadian economy has come to a standstill and is now at a tipping point. The Bank of Canada’s decisions over the next few months could influence whether the economy arrives at a soft landing or falls into a ... READ MORE >

Canada’s inflation accelerated to 3.4% in December

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December’s Consumer Price Index report for Canada is another bump in the road in the path toward price stability. The overall index rose by 3.4% on a year-over-year basis in December, up from 3.1% in November, primarily because of the base effect, or comparisons to a year ago. Prices dropped from ... READ MORE >

Inflation in Canada stayed steady at 3.1%

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Canada’s inflation in November failed to make progress, staying steady at 3.1%. But core inflation apart from housing and food continued to trend lower and came in around 3.5%, markedly lower than earlier this year. Food and housing remain primary drivers of inflation. On a year-over-year basis, ... READ MORE >

Bank of Canada holds at 5% as excess demand is stomped out

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In an acknowledgment of the economy's surprise contraction in the third quarter, the Bank of Canada on Wednesday shifted its tone on monetary policy from hawkish to neutral as it held its policy rate steady at 5 per cent. A series of gradual rate cuts from the current 5% is in order starting in April ... READ MORE >

Canada sees disinflation as gasoline prices ease

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Canada’s consumer price index in October speaks loud and clear: Disinflation is here, and no more rate hikes by the Bank of Canada are needed. Inflation fell to 3.1% on a year-over-year basis, according to Statistics Canada on Tuesday. On a monthly basis, prices fell by 0.1%. The plunge is largely ... READ MORE >

Bank of Canada holds at 5% as growth outlook softens

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The Bank of Canada held its overnight rate at 5% on Wednesday and will continue its policy of quantitative tightening, moves that were widely expected given the projected weaker growth at home and abroad this year and into next year. Weakened growth globally dampens economic activities in Canada as ... READ MORE >

Canada inflation surges 4%, exceeding forecasts

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Inflation in Canada spiked far more than forecast in August, raising the prospect of another interest rate increase by the Bank of Canada. Even though inflation was expected to increase because of rising gas prices, higher rents and comparisons to the moderate levels of a year ago, the 4% ... READ MORE >

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