Canada: Inflation rises in December from November
Latest reading: Consumer prices were up 2.4% in annual terms in December, following a 2.2% increase in the previous month. The reading was above market expectations but within the Central Bank’s 1.0–3.0% inflation target range.
Relative to the prior month’s data, price pressures were higher for food in December (+6.2% in annual terms vs +4.2% in November). In contrast, there were reduced price pressures for housing (+2.1% vs +2.3% in November), transportation (-1.0% vs +0.5% in November), recreation and culture (+0.2% vs +0.4% in November) and clothing and footwear (+0.9% vs +1.1% in November).
Meanwhile, core consumer prices were up 2.8% in annual terms in December, following a 2.9% rise in the previous month.
Lastly, consumer prices fell 0.24% in December on a month-on-month basis, following a 0.06% rise in the prior month.