A person shops at a grocery store in Montreal, Canada, on Feb. 3, 2025. (Credit: ANDREJ IVANOV/AFP via Getty Images)
Canada’s inflation rate accelerated to 1.9 per cent in August, up from 1.7 per cent the month before, with core inflation remaining elevated but showing some signs of easing.
Headline inflation was higher in part because the fall in gasoline prices slowed in August, Statistics Canada said on Tuesday. Taking out energy and food, the consumer price index rose by 2.4 per cent in August, down from 2.5 per cent the month before.
Measures of core inflation, which the Bank of Canada prefers to look at when making its monetary policy decisions, remained sticky in August but decelerated in two of three categories. CPI-median rose by 3.1 per cent year-over-year during the month, the same as in July; CPI-trim rose by three per cent in August, down from 3.1 per cent the month prior; and CPI-common rose by 2.5 per cent last month, down from 2.6 per cent in July.
More to come…