Once the scourge of the economic scene in this country, it appears as though inflation is being tamed, certainly more so last month than the month before.
Statistics Canada says the consumer price index slowed slightly to 1.9% in August under the weight of declining gasoline prices.
Inflation was firm enough to stick close to the Bank of Canada’s ideal 2% target — and August proved the sixth straight month for price growth being 1.9% or higher. The price picture, on its own, did not put pressure on the inflation-targeting Bank of Canada to adjust interest rates.
Away from the gas pumps, CPI was up 2.4% from a year ago, according to the nation's number crunchers. Gas prices fell 10.2% last month, which followed a decrease of 6.9% in July.
Price growth was also held back last month, compared with a year earlier, by lower costs for travel accommodations, internet access services and furniture.
StatsCan concludes by saying upward pressure on consumer prices, year-over-year, was led by higher costs for airline tickets, mortgage interest and auto insurance.
