Canada Inflation Rate Edges Up in June

Consumer prices in Canada increased by 1 percent year-on-year in June of 2015, compared to 0.9 percent reported in May, as cost of energy fell at a slower pace and prices of food and shelter increased.

Year-on-year, the energy index decreased 9.0 percent, following an 11.8 percent decline in May, as gasoline prices were down 14.1 percent compared to a 17.4 percent decline in the previous month. Excluding energy, the CPI was up 2.1 percent.

Consumers paid 3.4 percent more for food, as food purchased from stores were up 3.6 percent and prices for food purchased from restaurants rose 2.7 percent. The shelter index was up 1 percent, after increasing 0.5 percent in May. This acceleration was led by higher electricity prices, which rose more in June than in May. Also contributing to the acceleration was the natural gas index, which posted a smaller decline in June than in May. Homeowners' home and mortgage insurance costs were up more in June (+9.2 percent) than in May (+8.3 percent). Prices for the purchase of passenger vehicles increased 2 percent, after posting a 1.8 percent gain the previous month. In contrast, the transportation index declined 2.6 percent, as gasoline prices remained lower than last year. 

On a monthly basis, the CPI increased 0.2 percent in June, down from a 0.6 percent growth last month. While food (+0.2 percent compared to +1 percent in May) and leisure activities cost (+0.6 percent compared to +2 percent) increased at a slower pace, transport prices accelerated 1.2 percent from a 1.1 percent growth in the previous month.

Canada Inflation Rate Edges Up in June

Statistics Canada |
7/17/2015 2:46:02 PM