The latest data from Statistics Canada reveals that Canada’s consumer price index (CPI) rose by 3.1% in the year leading up to October, aligning with economists’ expectations. This figure represents a slight decline from the previous month’s 3.8% increase in inflation. The primary factor contributing to the deceleration in the cost of living was a notable drop in gasoline prices, which decreased by 6.4% in October alone and 7.8% compared to the previous year.
Excluding gasoline from the calculations, the inflation rate for October would have been 3.6%, slightly lower than the 3.7% non-gasoline inflation rate observed in the previous month. Despite this decline, other essential aspects that contribute to the overall cost of living are still on the rise.
Food prices, for instance, increased at a pace of 5.4% over the past year, although this is slightly lower than September’s 5.8% annual pace. On the other hand, rental costs continue to soar, marking their fastest increase in years. The typical cost of rent has risen by 8.4% in the past year, up from 7.3% in September.
FAQ:
Q: What caused the deceleration in Canada’s inflation rate?
A: The drop in gasoline prices was the primary reason behind the slower increase in the cost of living in Canada.
Q: How much did gasoline prices decrease in October?
A: Gasoline prices decreased by 6.4% in October alone and were down by 7.8% compared to the previous year.
Q: What was the inflation rate in October excluding gasoline prices?
A: Excluding gasoline, the inflation rate for October would have been 3.6%, slightly lower than the previous month’s rate.
Q: Has the cost of rent increased in Canada?
A: Yes, rental costs have been accelerating and experienced an 8.4% increase in the past year, up from 7.3% in September.