Statistics
Canada reported on Wednesday the country’s consumer price index (CPI) rose 0.2
percent m-o-m in September, the same pace as in the previous month.
On
a y-o-y basis, Canada’s inflation rate jumped 4.4 percent last month, accelerating
from 4.1 percent in August. This was the highest rate since February 2003.
Economists
had predicted inflation would increase 0.1 percent m-o-m and 4.3 percent y-o-y
in September.
According
to the report, prices increased in every major component in September, with
transportation prices (+9.1 percent y-o-y) contributing the most to the
all-items gain, mainly reflecting a 32.8 percent y-o-y surge in gasoline prices.
Higher shelter (+4.8 percent y-o-y) and food prices (+3.9 percent y-o-y) also supported
the growth. Excluding gasoline prices, the CPI rose 3.5 percent y-o-y in
September.
Meanwhile, the closely watched the Bank of
Canada's core index jumped 3.7 percent y-o-y in September, following a 3.5
percent y-o-y surge in August.