Canada’s inflation rate likely rose in October as gas prices surged: forecasters
Global News
Statistics Canada is expected to release its October report on the consumer price index on Wednesday, and economists are warning annual inflation rate likely ticked higher.
Inflation has been heading lower in recent months, but Canadians likely haven’t noticed as gas prices went up and grocery costs continued to soar last month.
Statistics Canada is expected to release its October report on the consumer price index on Wednesday, and economists are warning Canada’s annual inflation rate likely ticked higher.
BMO is forecasting the annual inflation rate was 7.2 per cent, up from 6.9 per cent in September, while RBC also expects inflation rose slightly, estimating 7.0 per cent.
Forecasters say gas prices and food inflation are to blame for the expected uptick. However, the slight bump might not mean much in the long run.
“As long as energy prices don’t persistently push higher, the expectation is inflation will back off,” said Benjamin Reitzes, BMO’s managing director for Canadian rates and macro-strategist.
Economists have been encouraged by some early signs that core inflation – which is less volatile than the headline number – is slowing. The headline rate has also fallen in recent months after peaking at 8.1 per cent in June.
Forecasting is far from an easy task in the current economy, however. With the Canadian labour market still strong and grocery prices on an upward tear, Reitzes said “there’s a chance we’re wrong.”
The rapidly rising cost of food in particular has caught the attention of Canadians, policymakers and economists. Grocery prices in September rose at the fastest pace since 1981, with prices up 11.4 per cent compared with a year ago.
The town of Tecumseh, Ont. is likely to lose about $3.2 million in funding for housing after voting against allowing fourplexes to be built by default.
Here’s when you can expect roads to clear in Montreal, Toronto and the GTA, as cities outline how snow removal is prioritized and how long clearing typically takes.
Prime Minister Mark Carney's visit to China is raising questions about whether some tariffs between Beijing and Ottawa could soon ease in what one expert is calling a 'test.'
The remote Ontario community remains under a state of emergency after its water treatment plant failed last week. Evacuations are underway.
It's been proposed if the score remains even after overtime, it would be decided by alternating plays from the opposition's three-yard line until one scores and the other doesn't.
François Legault made the announcement at the national assembly of Quebec on Wednesday as October’s provincial election approaches.
Crombie announced she would resign back in September after a weak show of support for the leader at the Ontario Liberal convention on the back of a third-place election finish.
The O'Neills are at the centre of a Charter of Rights challenge, now before the B.C. Supreme Court, that seeks to end the practice of so-called "forced transfers."
The former Manwin Hotel, which has been vacant for about a year, is the scene of a major fire, though crews say the cause is not yet known.
A major issue this week will be China's heavy tariffs on pork, canola and seafood, which were imposed after Ottawa ordered tariffs on Chinese electric vehicles, steel and aluminum.
Despite data saying otherwise, Kelowna, B.C. business owners say break and enters, thefts and property crime are through the roof.
Kelowna is flooded with empty condo and rental units, with the city's vacancy rate now the highest in all of Canada at more than six per cent.
Producers in Saskatchewan say they are feeling optimistic ahead of Premier Scott Moe joining Prime Minister Mark Carney on his trip to China this week.