Source: Statistics Canada
Canada’s inflation accelerated to its fastest pace in a decade in May, on the back of base effects and higher shelter and vehicle prices.
- The Consumer Price Index climbed 3.6% in May from 3.4% in April. This is the fastest in 10 years since May 2011.
- The CPI climbed 0.5% month-on-month, the same growth recorded in April.
- Base effects affected price movements for gasoline, furniture, and beef products.
- Prices of shelter rose 4.2% to mark the highest increase since September 2008.
- Prices of durable goods prices climbed 4.4% or the fastest since 1989.
- Passenger vehicle prices climbed 5.0% to make the biggest gain since September 2016 due to the global chip shortage.
- Furniture prices made their biggest climb since 1982 with a 9.8% climb. Upholstered furniture prices jumped 10.3%