Goods and services are still getting more expensive in Canada, but the good news is the rate of inflation is continuing to trend down.
Statistics Canada released their numbers for July this morning, which showed the annual rate of inflation had dropped to 2.5 percent. That number was down from 2.7 percent in June, and the lowest it’s been since March of 2021.
According to the consumer price index report, prices of travel tours, passenger vehicles and electricity helped drive the headline figure lower. Housing, however, continues to be the main driver of inflation as rents and mortgage prices continue to rise.
The good news is, even the rate of inflation for shelter costs slowed down last month. The bad news is, that slowdown in shelter costs was 5.7 per cent year-over-year, down from 6.2 per cent in June.
Grocery prices were up 2.1 percent from a year ago, representing a significant slowdown in a sector that saw double-digit inflation in the report from February of 2023. Service prices had risen 4.4 percent.
