The first increase in annual inflation since its June 2022 peak was driven in part by higher mortgage interest costs and higher rent prices.
Meanwhile, inflation for rent was 6.1 per cent year over year, up from 5.3 per cent in April.“Rent prices are also climbing and that’s probably related to the same phenomenon,” Van Mulligen said. “Housing affordability is deteriorating because mortgages are more expensive.”
The year-over-year increase in the homeowners’ replacement cost index also slowed for the 12th consecutive month, which Statistics Canada says reflects a general cooling of the housing market.Article content The Bank of Canada has been aggressively hiking interest rates in order to tame high inflation. Yet, in a paradoxical twist, higher interest rates have pushed up housing costs, contributing to higher inflation this month.
The central bank’s interest-rate hikes have come full circle, feeding back into inflation even though other key drivers like commodities have been coming back down, said Colin Cieszynski, chief market strategist at SIA Wealth Management, in a note.Article content
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.
Rent, mortgage interest helped drive inflation higher in April: Statistics CanadaThe first increase in annual inflation since its June 2022 peak was driven in part by higher mortgage interest costs and higher rent prices, Statistics Canada said Tuesday.
Read more »
Rent, mortgage interest helped drive inflation higher in April: Statistics CanadaThe first increase in annual inflation since its June 2022 peak was driven in part by higher mortgage interest costs and higher rent prices, Statistics Canada said Tuesday.
Read more »
Rent, mortgage interest helped drive inflation higher in April: Statistics Canada - BNN BloombergThe first increase in annual inflation since its June 2022 peak was driven in part by higher mortgage interest costs and higher rent prices, Statistics Canada said Tuesday.
Read more »
Rent, mortgage interest helped drive inflation higher in April: Statistics CanadaOTTAWA — The first increase in annual inflation since its June 2022 peak was driven in part by higher mortgage interest costs and higher rent prices,…
Read more »
Rent, mortgage interest helped drive inflation higher in April: Statistics CanadaThe first increase in annual inflation since its June 2022 peak was driven in part by higher mortgage interest costs and higher rent prices.
Read more »
Statistics Canada to release April reading for inflation - BNN BloombergStatistics Canada is expected to release its latest reading on inflation this morning.
Read more »