Canada CPI slowed from 3.4% yoy to 2.8% yoy in June, below expectation and back inside BoC’s 1-3% target range. On a monthly basis, CPI edged up 0.1% mom down from May’s 0.4% mom.
Statistics Canada noted, “While deceleration was fairly broad-based, another base-year effect in gasoline prices led the slowdown in the CPI.” Excluding gasoline, CPI slowed from 4.4% yoy to 4.0% yoy.
Grocery prices at 9.1% yoy and mortgage interest costs at 30.1% yoy were the biggest contributor to CPI increase. Ex-food CPI was at 1.7% while excluding mortgage interest costs, CPI was at 2.0%.
CPI median decelerated from 4.0% yoy to 3.9% yoy, above expectation of 3.7% yoy. CPI trimmed slowed form 3.8% yoy to 3.7% yoy, above expectation of 3.6% yoy. CPI common slowed from 5.2% yoy to 5.1% yoy, above expectation of 5.0% yoy.
