Gas Prices Fuel Upward Inflation

Inflation up 2

CBJ — The latest figures released by Statistics Canada shows the annual inflation rate was up 2.2% in May. That’s the second straight monthly increase, due in large part to the rising cost of fuel.

Besides the cost of gasoline, other main contributors to inflation last month were due higher prices for eating out at restaurants, airline tickets and mortgage interest costs. On the bright side, consumers shelled out less for telephone services, natural gas, digital devices and computers in May.

The report also found the average of the Bank of Canada’s three measures of core inflation, which leave out more-volatile numbers like pump prices, slowed to 1.9% last month.