Inflation Hits 2.4% in May
CBJ — The annual pace of inflation picked up in May as the consumer price index rose 2.4% compared with a year ago according to figures released by Statistics Canada. It marks teh largest increase since October, 2018.
The upward move compared with a 2% increase in April and was the fourth straight month of rising year-over-year increases.
prices rose in all eight of major components of the index compared with a year ago.
Food prices rose 3.5% as fresh vegetable prices surged 16.7%, the largest year-over-year increase since February 2016.
Transportation prices gained 3.1% as the cost of air transportation added nearly 9% and the cost of passenger vehicles rose 4.2%.. Passenger vehicle insurance premiums rose an average of 8%.
However, drivers paid 3.7% less for gasoline compared with a year ago. Excluding gasoline, the consumer price index increased 2.7% in May compared with a year ago. In April, the year-over-year increase was 2.3%.
The rise in prices put inflation ahead of the Bank of Canada’s ideal target for inflation of 2%.
Inflation by province (Previous month in brackets):
- Newfoundland and Labrador, 1.6 per cent (1.5)
- Prince Edward Island, 1.2 (1.2)
- Nova Scotia, 1.9 (1.3)
- New Brunswick, 2.1 (1.7)
- Quebec, 2.4 (1.8)
- Ontario, 2.4 (1.9)
- Manitoba, 2.8 (2.3)
- Saskatchewan, 2.1 (2.3)
- Alberta, 2.3 (2.2)
- British Columbia, 2.6 (2.7)