Inflation Down to 1% in June

The rate at which prices change in this country eased up slightly last month, according to figures released Friday by Statistics Canada.

The agency says Canada's annual rate of inflation came in at 1% on a year-over-year basis in June, declining from the 1.3% seen in May.

The June figure for the consumer price index came in just below the 1.1% consensus of expectations of economists.

Statistics Canada said energy prices decreased in the 12 months to June after the previous month's increase. At the same time, food prices rose year over year in June.

Factoring out the food and energy segments, CPI rose by 1.4% year over year in June, equaling the gain in May.

Statistics Canada said consumers paid less at the pump as gasoline prices fell by 1.4% in the 12 months to June, after increasing 6.8% in May.

Electricity prices dropped 5.3% over the previous 12 months, while there were increases in prices for natural gas, fuel oil and other fuels.

Meanwhile, after eight straight months of declines, the food price index rose 0.6% in the 12 months to June. Year-over-year declines in prices for meat and bakery products moderated, and prices for fresh vegetables increased at a faster pace in June than in May.