Inflation slows after hitting four-decade high
Consumers were able to stretch their dollars a little bit farther last month after inflation dipped by half of a percentage point to sit at 7.6 per cent after hitting a four decade high the previous month.
Declining gas prices played a role.
“Today’s inflation numbers, I think, reflect how important fuel is to our economy,” said Dan McTeague, a former MP and the president of Canadians for Affordable Energy. “No it didn’t bring down inflation to zero but anybody who underestimates the cost of energy I think is kidding themselves.”
June closed out with gas selling for a minimum of 213.9 in Halifax. As of Tuesday, Nova Scotians are paying 1.71 to pump a litre of fuel, still not low enough to change John Mahtab’s driving habits.
“We just try to be more efficient about it. Instead of just running off for one thing, planning our trips better,” Mahtab says.
What’s not getting cheaper however is what shoppers are putting in their grocery carts.
“It seems like pretty much everything has gone up,” Susan Mahtab says.
She’s right. Eggs, coffee and tea, bakery products, and fresh and preserved fruit have all gone up year-after-year by more than 10 per cent.
“It’s been a bit of a slow creep, but today, I haven’t been for a couple weeks, and noticed a couple of dollars in some items,” Mahtab adds.
This coming as food inflation actually dropped.
“The food inflation rate in Canada has peaked,” says Dalhousie University’s food economist, Sylvain Charlebois. “It did peak back in may so the food inflation rate went from 9.4 per cent to 9.2 per cent.”
McTeague doesn’t think the drop in the rate of inflation will last long. He says he anticipates fuel prices to climb again in the fall and take the cost of living along for the ride.
CTVNews.ca Top Stories
DEVELOPING Live updates as Stormy Daniels testifies at Trump hush money trial
Adult film star Stormy Daniels will take the stand a second time Thursday as former U.S. president Donald Trump’s hush money case continues in Manhattan. Follow live updates here.
BREAKING Toronto Maple Leafs fire head coach Sheldon Keefe
The Toronto Maple Leafs have fired head coach Sheldon Keefe. The team made the announcement Thursday after the Original Six franchise lost to the Boston Bruins in seven games in the first round of the Stanley Cup playoffs.
Bank of Canada says financial system is stable, but risks remain
The Bank of Canada says the Canadian financial system is stable, but risks remain due to debt servicing costs among households and businesses and stretched valuations of financial assets.
Why these immigrants to Canada say they're thinking about leaving, or have already moved on
For some immigrants, their dreams of permanently settling in Canada have taken an unexpected twist.
Here are the ultraprocessed foods you most need to avoid, according to a 30-year study
Studies have shown that ultraprocessed foods can have a detrimental impact on health. But 30 years of research show they don’t all have the same impact.
Court to hear about search for remains as Winnipeg murder trial enters second day
A courtroom in Winnipeg is expected to hear testimony today about the search for the remains of the four victims of Jeremy Skibicki.
Capital gains tax change 'shortsighted' and 'sows division' business groups tell Freeland
Forging ahead with increasing Canada's capital gains inclusion rate 'sows division,' and is a 'shortsighted' way to improve the deficit, business groups are warning Finance Minister Chrystia Freeland.
Ontario man frustrated after $3,500 paving job leaves driveway in shambles
An Ontario man considering having his driveway paved received a quote from a company for $7,000, but then, another paver in the neighbourhood knocked on his door and offered half that rate.
'We can and we must do better': First ever Air Accessibility Summit hits Ottawa
Federal ministers, airline executives and members of the disability community are gathering in Ottawa today for the first ever Air Accessibility Summit.