Canada's inflation rate remained at 1.7% in May, with housing costs cooling down and mortgage interest rates falling for the 21st consecutive month!
The Canadian Statistics Bureau just released data showing that the annual inflation rate across the country remained at 1.7% in May, mainly due to the cooling of housing-related costs, which effectively eased overall price increases.
Data shows that housing costs rose by 3% in May, slowing down from 3.4% in April.
The statistics bureau specifically pointed out that Ontario was the main region contributing to the cooling of rent. Due to slower population growth and increased rental housing supply, the increase in rent slowed significantly in May.
At the same time, mortgage interest costs have been slowing for the 21st consecutive month, which is related to the recent interest rate cut environment by the Bank of Canada.
Most economists had previously generally predicted that the inflation rate in May would remain unchanged, and this data met expectations.
The statistics bureau also said that the cancellation of the carbon tax continued to push down gasoline prices year-on-year, but compared to the same period last year, the monthly decline in oil prices was smaller, limiting the overall decline space.
In terms of food prices, supermarket food prices rose by 3.3% year-on-year in May, with the growth rate decreasing by 0.5 percentage points compared to April.
In addition, the decline in tour group fees and airfare prices also helped to curb inflation last month.
However, new car prices accelerated in May, rising by 4.9%, mainly due to the increase in electric vehicle prices.
Excluding the impact of tax policy changes such as the carbon tax, the core inflation rate in May remained stable at 2.3%.
Additionally, the three core inflation indicators most closely watched by the Bank of Canada slightly decreased by 0.1 percentage points in May, dropping to 3%.
Original: https://www.toutiao.com/article/1835821880083456/
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