The Consumer Price Index (CPI) rose 3.8% year over year last month in Canada, down from the 4% increase recorded in August.
Statistics Canada attributes the decline to falling prices for groceries, certain travel services and durable goods. Excluding gasoline, the CPI rose 3.7% in September, after increasing 4.1% in August.
Statistics Canada observed that although price growth in grocery stores continued to slow, it remained significant in September, having been higher than overall inflation. Year over year, prices at grocery stores rose 5.8% last month after increasing 6.9% in August.
The slowdown was mainly attributable to smaller year-over-year increases in the prices of meat, dairy products, coffee and tea, which were mainly explained by year-over-year effects.
Strong monthly increases recorded in September 2022, when grocery store prices posted the largest growth in 41 years, ceased to influence 12-month variations and put downward pressure on the indices.
The federal agency observed, on the other hand, that the prices of fresh fruits, fish, bakery products as well as edible fats and oils showed more marked growth from one year to the next in September compared to in the previous month.
Furthermore, unadjusted data from Statistics Canada show that in one year, the CPI for the housing sector increased by 6% in Canada.
Finally, the federal agency reports that the Consumer Price Index increased by 4.8% year over year last month in Quebec and Nova Scotia. The increase was 4% in New Brunswick and 2.8% in Prince Edward Island.