Canada\u2019s annual inflation cooled to 2.2%<\/strong> in October, helped by cheaper gasoline, slower grocery inflation and the first sub-3% reading for mortgage interest costs in more than three years, Statistics Canada said Monday.<\/p>\n\n\n\n On a month-over-month<\/strong> basis, CPI rose 0.2%<\/strong>, matching forecasts. Economists had looked for 2.1%<\/strong> year over year and 0.2%<\/strong> month over month.<\/p>\n\n\n\n The removal of this year\u2019s carbon levy on gasoline<\/strong> continued to depress headline inflation. Ex-levy<\/strong>, annual CPI would have been 2.7%<\/strong> in October versus 2.9%<\/strong> in September, indicating underlying price growth is running a bit hotter than the headline suggests.<\/p>\n\n\n\n Gasoline prices fell 9.4% y\/y<\/strong> (vs. \u20134.1% in September), the main drag on the basket.<\/p>\n\n\n\n BoC-watched core measures softened again:<\/p>\n\n\n\n The Bank of Canada<\/strong>, which cited stable inflation when it paused rate cuts<\/strong> last month, is likely to hold at 2.25%<\/strong> next month if disinflation persists, especially with core drifting lower and gasoline effects damping headline. Still-firm rent and above-headline food inflation argue for caution against declaring victory.<\/p>\n\n\n\n Markets took the print as modestly dovish: the Canadian dollar dipped ~0.07% to 1.4030 per USD (71.28\u00a2)<\/strong>, while 2-year GoC yields eased ~1.4 bps to 2.437%<\/strong>.<\/p>\n","protected":false},"excerpt":{"rendered":" Canada\u2019s annual inflation cooled to 2.2% in October, helped by cheaper gasoline, slower grocery inflation and the first sub-3% reading for mortgage interest costs in more than three years, Statistics Canada said Monday. On a month-over-month basis, CPI rose 0.2%, matching forecasts. Economists had looked for 2.1% year over year and 0.2% month over month. …<\/p>\n","protected":false},"author":9,"featured_media":61436,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[6827,49,37,36],"tags":[],"class_list":["post-120945","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-daily-economic-reports","category-economic-reports","category-forex-markets","category-market-updates"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/120945","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=120945"}],"version-history":[{"count":1,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/120945\/revisions"}],"predecessor-version":[{"id":120946,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/120945\/revisions\/120946"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/61436"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=120945"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=120945"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=120945"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Carbon levy effect and underlying trend<\/h2>\n\n\n\n
Components: food eases, shelter mixed<\/h2>\n\n\n\n
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Core inflation cools further<\/h2>\n\n\n\n
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Policy takeaways and market reaction<\/h2>\n\n\n\n