Inflation in Canada falls to 1.3 percent in July

By anna smith

Statistics Canada reported that Canada’s annual inflation rate fell to 1.3 percent last month as consumers paid less for gasoline. This statistic is down from 1.5 percent in June. Economists predicted that the inflation rate would ease to 1.4 percent.

Pump prices experienced a 12 month drop to 14 percent, falling by 5.6 percent. Fuel oil and natural gas prices also fell – they were down by double digits from a year earlier.

The data agency found that consumers spent more for food and shelter, although pump prices fell by 5.6 percent in July. Compared to July 2015, Canadians paid 10.3 percent more for fresh or frozen fish last month.

The core rate of inflation (which excludes volatile factors like fresh) stayed the same from June at 2.1 percent. Consumer prices increased less in July than in June in seven provinces. On an annual basis, the consumer price index increased in Brunswick (by 2.5 percent) and in Newfoundland and Labrador (by 3.4 percent) as both provinces increased the provincial portion of the HST on 1 July by 2 percent.

"Markets may be worrying about Canada's economic growth performance, but underlying inflation certainly isn't raising any eyebrows," noted TD economist Leslie Preston in a commentary. 
 

Follow @BizReviewCANADA

Read the August 2016 issue of Business Review USA & Canada magazine

SOURCE: [CBC]

 

Share

Featured Articles

Top 20 essential leadership resources for Black executives

To celebrate Black History Month, here are 20 resources for Black leaders – from business books to leadership coaches to business school exec programs

Broadridge study reveals huge impact of AI on C-suite

Broadridge Financial Solutions spoke to 500 C-suite executives from across the globe, many of whom said AI was significantly changing the way they work

PwC's Kathryn Kaminsky – the role of boards on social issues

As Vice Chair Trust Solutions Co-Leader at PwC, Kathryn Kaminsky says boards play an important role in helping businesses take action on social issues

Why your business needs a Chief Transformation Officer

Leadership & Strategy

12 top AI and ML trends for the enterprise in 2023 – Dataiku

Technology & AI

From NYC to Hong Kong, the rise of the private members' club

Leadership & Strategy