On Wednesday, Statistics Canada will release the Consumer Price Index for November, and economists surveyed by Bloomberg expect it to come in at 6.5%.
Falling gas prices likely pushed Canada’s annual rate of inflation lower in November, but that doesn’t necessarily mean the Bank of Canada’s interest rate hikes are working, economists say.
“The slowdown in inflation since June has nothing to do with the Bank of Canada’s interest rate hikes. It’s almost all because of gasoline,” said Stanford, who predicts the annual rate of inflation may have fallen below six per cent in November. The theory is that by making it more expensive for Canadian consumers and businesses to borrow money, the Bank will cut demand and slow the economy down, pushing prices lower. That’s not, Stanford says, what’s happening, even in sectors of the economy where interest rates have the most direct impact.
Now, Antunes suggests, it’s more likely because the supply chain chaos unleashed by the global COVID-19 pandemic is now finally getting unsnarled, and products are making it from factories to warehouses and eventually store shelves. “Food price inflation appears to have remained stubborn, and rising rates will continue to impact the mortgage interest payment part of the inflation basket,” said Grantham.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Number of job vacancies down in the third quarter: Statistics Canada - BNN BloombergStatistics Canada says the number of job vacancies fell in the third quarter after reaching a record high in the second quarter.
Read more »
Number of job vacancies down in the third quarter: Statistics CanadaStatistics Canada says the number of job vacancies fell in the third quarter after reaching a record high in the second quarter.
Read more »
Number of job vacancies down in the third quarter: Statistics CanadaStatistics Canada says the number of job vacancies fell in the third quarter after reaching a record high in the second quarter.
Read more »
Number of job vacancies down in the third quarter: Statistics CanadaStatistics Canada says the number of job vacancies fell in the third quarter after reaching a record high in the second quarter.
Read more »
Number of job vacancies down in the third quarter: Statistics CanadaStatistics Canada says the number of job vacancies fell in the third quarter after reaching a record high in the second quarter.
Read more »
Canada home price index falls more sharply in November -TeranetCanadian home prices fell in November from the previous month and at a faster pace than in October, while year-over-year price gains continued to slow, Teranet–National Bank National Composite House Price data showed on Monday. The index, which tracks repeat sales of single-family homes in major Canadian markets, dropped 1.3% on the month, led by declines in Vancouver, Montreal and the metropolitan area of Ottawa-Gatineau. From its peak in May, the index has now fallen 9%, with Hamilton down 16.9% and Toronto, Canada's most populous city, falling 12.9%.
Read more »