Canada: Inflation eases in October
November 17, 2017
Seasonally-adjusted consumer prices rose 0.2% in October, in line with September’s 0.2% print. According to Statistics Canada, October’s rise was primarily due to higher transport prices, which were driven by an increase in gasoline prices—although their rise slowed considerably from a month earlier. Moreover, shelter prices also recorded a sizeable increase, while food prices declined in the month.
Inflation was 1.4% in October, down from 1.6% in September and still within the Bank of Canada’s target range of 2.0% plus/minus 1.0 percentage point. Meanwhile, annual average inflation was stable at 1.5% for a ninth consecutive month in October. Core inflation, which excludes volatile items including gasoline and fresh food, ticked up from 0.8% to 0.9%.
Author: Christopher Thomas, Economist