Canadian Consumer Price Index Moderates in March

On Tuesday, Statistics Canada (StatCan) reported that the all-items Consumer Price Index (CPI) increased 2.3% year-over-year in March. This follows a 2.6% increase in February.

The year-over-year slowdown in the all-items CPI was driven by lower prices for travel tours and gasoline. Excluding gasoline, the CPI rose 2.5%, following a 2.6% increase in February.

Offsetting those declines was the end of the temporary break on the Goods and Services Tax (GST)/Harmonized Sales Tax (HST) on February 15, which put upward pressure on prices for eligible products in March compared with February.

On a monthly basis, the CPI rose 0.3% in March. On a seasonally adjusted monthly basis, the CPI was unchanged.