Canada Inflation Hits 3.1% in September as Gasoline Jumps 27.8%
Updated
Updated · CBC Sports · Oct 19
Canada Inflation Hits 3.1% in September as Gasoline Jumps 27.8%
3 articles · Updated · CBC Sports · Oct 19
Summary
Canada’s annual inflation rate climbed to 3.1% in September from 3.0% in August, moving above the Bank of Canada’s 1%-3% target band ahead of its Oct. 28 rate decision.
Gasoline prices rose 27.8% year over year after a 22.8% increase in August, with Statistics Canada linking the acceleration to Middle East conflict that pushed benchmark oil prices to their highest since May.
Food inflation eased to 1.7% from 2.8%, helped by cheaper fresh vegetables and lower sugar and confectionery prices, though grocery costs remain 33.0% higher than in September 2020.
Shelter prices increased 1.8% from a year earlier, up from 1.5% in August, while core inflation measures edged lower on a monthly basis.
The mixed report leaves policymakers weighing softer underlying price pressures against renewed energy-driven inflation, with economists surveyed by Bloomberg having expected a 3.18% September reading.