Washington, Rabi’I 7, 1437, Dec 18, 2015, SPA — Canada’s annual inflation rate rose in November as food prices jumped, while the value of wholesale trade declined in October due to lower sales in the food and motor vehicle and parts sectors, the government said Friday.
Statistics Canada said that annual inflation rose to 1.4 percent, just shy of economists’ forecasts for an increase to 1.5 percent. Core inflation, which strips out volatile items and is closely watched by the Bank of Canada, dropped to 2.0 percent, which also was short of expectations.
Food costs gained 3.4 percent in November from a year earlier, with higher prices for fresh vegetables and meat contributing the most to the rise. A 1.2 percent increase in the cost of shelter also contributed to the increase in inflation.
Overall, prices were up in seven of the eight major components of the consumer price index. The transportation component, which includes gasoline, was the only one to decline. Still, its decrease of 1.1 percent was the smallest annual decline registered since last November.
In a separate report, Statistics Canada said that wholesale trade declined 0.6 percent compared with economists’ expectations for a gain of 0.1 percent, while September was revised down to a drop of 0.3 percent from an initially reported 0.1 percent decrease.
Sales volume for October also decreased 0.6 percent. Excluding motor vehicles, total sales fell 0.3 percent.
Sales in the food, beverage, and tobacco sector tumbled 3.0 percent, the third decrease in four months. Motor vehicle and parts sales fell for the fourth month in a row, with the sector down 2.1 percent.
Wholesale inventories rose 0.5 percent. Gains were seen in three out of seven subsectors, which accounted for 62 percent of total inventories. Inventories and motor vehicles and parts increased 3.3 percent to reach their highest level on record.
21:05 LOCAL TIME 18:05 GMT