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Canada inflation Consumer Price Index October 2023: Canada CPI inflation falls to 3.8% in September

 Canada inflation Consumer Price Index October 2023: Canada CPI inflation falls to 3.8% in September

Canada inflation Consumer Price Index October 2023

Canada CPI inflation falls to 3.8% in September vs. 4% forecast

Inflation in Canada, as measured by the change in the Consumer Price Index (CPI), declined to 3.8% on a yearly basis in September from 4% in August. This reading came in below the market expectation of 4%. 

On a monthly basis, the CPI declined 0.1%, following the 0.4% increase recorded in August. 

In the meantime, the Bank of Canada's (BoC) annual Core CPI, which excludes volatile food and energy prices, increased 2.8%, compared to 3.3% in August.

"The year-over-year deceleration was broad-based, stemming from lower prices for some travel-related services, durable goods and groceries," Statistics Canada noted in its press release. "Offsetting the deceleration in the all-items CPI was a year-over-year increase in gasoline prices, which rose at a faster pace in September (+7.5%) compared with August (+0.8%) due to a base-year effect."

Market reaction to Canada inflation data
Soft inflation data weighed on the Canadian Dollar with the immediate reaction. At the time of press, the USD/CAD pair was up 0.55% on the day at 1.3685.

Canadian Dollar price today

The table below shows the percentage change of Canadian Dollar (CAD) against listed major currencies today. Canadian Dollar was the weakest against the Australian Dollar.




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