Canada's July annual inflation accelerates to 3% as gasoline rebounds
Gasoline prices rose 25.7% year over year as food inflation slowed and core measures held steady, Statistics Canada said.
- On Monday, Statistics Canada reported Canada's annual inflation rate rose to 3% in July, driven by rebounding gasoline prices. The Consumer Price Index climbed 0.5% month-over-month, while core inflation measures remained stable.
- Gasoline prices surged 25.7% year-over-year in July, accelerating from a 20.5% gain in June. StatCan attributed the pressure to the ongoing Middle East conflict and disruptions to global energy supplies.
- Travel tour costs jumped 15.2% and air transportation rose 12% amid FIFA World Cup demand in U.S. cities. Grocery inflation slowed to 3.1%, though it marked the 18th consecutive month food price growth outpaced overall CPI.
- Inflation accelerated across every province in July except Ontario, where rates remained unchanged at 2%. Nova Scotia recorded the highest provincial rate at 5%, driven by rising electricity and rent costs.
- The Bank of Canada's July Monetary Policy Report projects inflation will ease to about 2.5% in the second half of 2026. Governor Tiff Macklem expects a return to the 2% target by early 2027, assuming oil prices average US$75.
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July's inflation rebound not enough to sway the Bank of Canada: economists
OTTAWA — Inflation reaccelerated in July after another volatile month for global energy prices. But economists argue the latest data was mild enough that the Bank of Canada can focus on looming trade risks rather than fears of spreading price hikes.
Inflation Edged Up to 3 Percent in July as Gas Prices Rose: StatCan
Canada’s inflation rate rose to 3 percent in July, as higher gasoline prices were partly offset by slower growth in food prices, according to Statistics Canada. The Consumer Price Index (CPI) rose 0.5 percent month over month in July, while on a seasonally adjusted monthly basis it rose 0.3 percent, StatCan said in a report released Aug. 17. Canada’s inflation rate had fallen to 2.8 percent in June, after reaching 3.2 percent in May. Core inflat…
Canada's July annual inflation accelerates to 3% as gasoline rebounds
Canada's annual inflation rate accelerated to 3% in July, slightly more than expected, as renewed United States-Iran tensions drove gasoline prices, while the cost of travel tours also rose, data showed on Monday.
Inflation rate rose to 3% in July as gas prices climbed again
The resumption of hostilities in the Middle East in July sent gas pump prices back up, after a brief ceasefire cooled them in June. Inflation for food bought from stores cooled in July, with fresh vegetable and chicken prices driving the decline.
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