Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Canadian Annual Inflation 1.4% in January

Published 2019-02-27, 08:31 a/m
Updated 2019-02-27, 08:38 a/m
© Reuters.

© Reuters.

Investing.com - The overall rate of inflation in Canada fell in January, data on Wednesday showed, casting doubt on whether or not the Bank of Canada will follow the Federal Reserve in keeping interest rates unchanged.

The consumer price index rose 1.4% last month, compared with the same month a year earlier. Prices rose by 0.1% from a month earlier.

Economists had expected annual inflation to rise by 1.5% and monthly inflation to rise by 0.2%. Core inflation, which excludes gasoline, was up 1.5% from a year earlier and rose by 0.3% from the previous month.

The Bank of Canada aims to keep inflation at 2%, the midpoint of a target range of 1% to 3% over the medium term.

Stephen Poloz, governor of the central bank, said last week that it was uncertain when the bank would raise the benchmark rate and that it would scrutinize incoming data in light of domestic headwinds. The bank is especially concerned about the housing market, business investment levels and global trade uncertainty.

"Given these uncertainties, we have kept interest rates unchanged at 1.75% since last October," Poloz said last week. "We will remain decidedly data-dependent as the domestic and international situations evolve."

The bank’s next interest rate announcement is on March 6.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.