August Inflation Hotter Than Expected In Canada
Posted by Adam Chahl on
Canada's inflation rate accelerated more than expected for the second consecutive month, mainly driven by higher gasoline prices. This will not be a one-month wonder as gasoline prices rose further in September.
The consumer price index increased 4.0% in August from one year ago, the fastest pace since April, after a 3.3% rise in July. That's faster than the median estimate of 3.8% in a Bloomberg survey of economists. Monthly, the index rose 0.4%, double expectations. Excluding gasoline, the CPI rose 4.1% in August, matching the 4.1% increase in July.
Canadian inflation is no longer trending downward, presenting problems for the Bank of Canada. The BoC's preferred 3-month core measure rose by a whole percentage point to 4.5%. The incoming data…
386 Views, 0 Comments