In June, consumer prices decreased a seasonally adjusted 0.2% over the previous month, which followed the 0.3% drop recorded in May. The monthly price fall mainly reflected a sharp drop in prices for transportation. In spite of the monthly decline, annual headline inflation rose from 1.2% in May to 1.5% in June, undershooting market expectations of a 1.7% increase. Currently, Canada's inflation remains within the Central Bank's target of 2.0% with a tolerance margin of +/- 1.0 percentage points. Meanwhile, annual average inflation inched down from 2.5% in May to 2.4%. Simultaneously, core inflation, which excludes volatile items such as gasoline and fresh food, rose from 1.8% in May to 2.0% in June. The Bank of Canada expects headline inflation to average 2.2% in 2012 and 2.0% in 2013.
Inflation steps up in June
July 20, 2012
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Canada Inflation Chart
Note: Year-on-year and month-on-month variation of seasonally adjusted consumer price index in %.
Source: Statistics Canada (SC).
Canada Economic News
October 21, 2016
In September, seasonally-adjusted consumer prices increased 0.2% from the previous month, which contrasted the 0.1% decrease recorded in August and marked the highest print in three months.
October 19, 2016
At its 19 October policy meeting, the Bank of Canada (BoC) decided to maintain its target for the overnight rate at 0.50%, despite a weaker inflation and growth outlook.
October 11, 2016
The Teranet-National Bank National Composite House Price index rose 0.7% in September from the previous month, which followed the 1.5% increase in August.
October 8, 2016
Seasonally-adjusted annualized housing starts registered 220,600 units in September, according to the government-owned Canada Mortgage and Housing Corporation (CMHC).
October 7, 2016
The Ivey Purchasing Managers’ Index (PMI), sponsored by the Richard Ivey School of Business and the Purchasing Management Association of Canada, increased a seasonally-adjusted 6.1 points in September, rising from 52.3 in August to 58.4.