Canada’s inflation rate rose to 2 per cent in October – National

Canada’s inflation rate rose to two per cent in October, up from 1.6 per cent in September, Statistics Canada said.

The annual rate of inflation, which fell below the Bank of Canada’s target of two per cent in September, beat the analyst expectation of 1.9 per cent slightly.

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Price hikes at the grocery store rose at a faster pace in October, at 2.7 per cent, compared to 2.4 per cent year-over-year in September.

The spike in grocery prices was led by the 7.3 per cent increase in the prices of fresh vegetables and 7.6 per cent increase for preserved fruit and fruit preparations.

There was further cooling in shelter prices, with shelter price rising at 4.8 per cent in October instead of five per cent in September.

Rent grew at a slower pace in Canada in October at 7.3 per cent year-over-year, compared to 8.2 per cent in September. Mortgage price growth eased as well, growing at 14.7 per cent annually in October, instead of 16.7 per cent in September.