Canada’s inflation rate slowed to 1.7 per cent in July, down from 1.9 per cent the month before.
Statistics Canada said gasoline prices led the slowdown — they dropped 16.1 per cent.
Officials said the year-over-year drop was due to the pausing of the consumer carbon tax.
Moderating the deceleration in July were higher prices for groceries, which climbed 3.4 per cent.
Prices for confectionery and coffee accelerated as unfavourable weather conditions in growing regions led to higher prices for cocoa and coffee beans.
In addition, prices for fresh fruit rose at a higher rate year over year, largely stemming from higher prices for grapes
Shelter prices also accelerated for the first time since February 2024 — they were up three per cent, compared to 2.9 per cent in June.
Rent prices rose at a faster pace year over year, up 5.1 per cent in July following a 4.7 per cent increase in June.
On a yearly basis, prices rose at a slower pace in six provinces in July compared with June, while two provinces had higher inflation than the national total.
