Canadian inflation outlook still murky but January CPI growth slowed

February 20, 2024 | Nathan Janzen and Abbey Xu


RBC Canadian Inflation Watch

Canadian inflation outlook still murky but January CPI growth slowed

  • Year-over-year CPI growth slowed to 3.2% in January from 3.4% in December.
  • Energy and food price growth slowed, but the Bank of Canada’s preferred core measures of broader price pressure also unexpectedly slowed.
  • Mortgage interest cost growth is slowing but still driving a disproportionate share of CPI growth. Home rent growth is still accelerating.
  • But other components of shelter inflation, such as homeowners’ replacement costs, saw improvements on lower house prices.
  • Wage growth still elevated along with a strong start to the year for labour markets.

This article was originally published by RBC Economics.

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