Canada's annual inflation rate was reported to have increased by 4.7% in October, the highest rate since February 2003. During that time the report also stated that the inflation rate also recorded a year -on -year increase of 4.4% in September based on a report from the Department of Statistics recently.
Last month's reading was in line with a survey by Reuters analysts who also expected the annual rate to rise by 4.7% in October. The reading also carries an indication that it is more than the Bank of Canada’s key inflation target.
The normal CPI reading, which is used as the best measure of economic performance during a downturn, was reported unchanged at 1.8%.
The Bank of Canada signaled last month that it could raise its overnight interest rates as early as April 2022, while inflation warnings are likely to rise further this year and will remain above target throughout the coming year.
The Canadian dollar traded 0.1% lower at a trading level of C $ 1.2575 against the U.S. dollar, or 79.52 U.S. cents, after the data was released.
