The Consumer Price Index (CPI) rose 5.2% year over year in February in Canada, after posting a 5.9% increase in January.
It was the biggest slowdown in inflation since April 2020, according to Statistics Canada, which attributes it to a year-on-year effect, which occurred against the backdrop of a strong monthly price increase of 1% in February 2022.
The federal agency observed that prices for food purchased from stores rose 10.6% year over year last month, marking a seventh consecutive monthly advance greater than or equal to 10%.
Supply constraints related to unfavorable weather conditions in producing regions contributed to exerting upward pressure on this category of goods. Price growth was 14.8% for cereal products, 6% for sugar and confectionery and 7.4% for fish, shellfish and other seafood products.
Statistics Canada noted that price growth for other foods, including non-alcoholic beverages, meat, vegetables and vegetable preparations, and bakery products slowed year-over-year in February. compared to the first month of the year.
Energy prices fell 0.6% year over year in February, after rising 5.4% in January. The 4.7% drop in gasoline prices contributed the most to the decline; it was the first annual decline since January 2021.
Housing price growth has slowed from 2022 to this year for a third consecutive month; prices rose 6.1% in February after rising 6.6% in January.
Regional data from Statistics Canada indicates that the Consumer Price Index rose 5.6% year over year in February in Quebec, and 5.9% in New Brunswick.