Canada's CPI rose 3.4% in May

Ottawa:

Canada's Consumer Price Index (CPI) rose 3.4 per cent in May year over year, following a 4.4 pe rcent increase in April, the national statistical agency said.

Statistics Canada said on Tuesday this was the smallest increase since June 2021 and the slowdown was largely driven by lower year-over-year prices for gasoline resulting from a base-year effect, Xinhua news agency reported.

It added that excluding fuel, the CPI rose 4.4 per cent in May following a 4.9 per cent increase in April.

According to the statistical agency, the mortgage interest cost index, with a growth of 29.9 per cent, remained the largest contributor to the year-over-year CPI increase.

Excluding mortgage interest cost, the CPI rose 2.5 per cent in May, following a 3.7 per cent increase in April.

On a monthly basis, the CPI was up 0.4 per cent in May, following a 0.7 per cent gain in April.

The largest contributors to the month-over-month increase were mortgage interest costs and travel services, which include traveler accommodation and travel tours.

On a seasonally adjusted monthly basis, the CPI rose 0.1 per cent, Statistics Canada said. 


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