Canada’s Consumer Price Index Rises by 1.8% Due to Tax Holiday Impact

• Canada’s consumer price index rose by 1.8% in December
• Tax holiday and disinflation forces contributed to the rise
• Bank of Canada expected to cut policy rate by 25 basis points
• Trade policy uncertainty affects inflation outlook
• Core inflation measures below 3% upper range
• Food inflation fell to 0.6% due to tax holiday
• Shelter prices rose by 4.5% on a year-over-year basis
• Gasoline prices rose by 3.5% due to base year effects
• CPI rose by 2.4% on an annual average basis

Source: realeconomy.rsmus.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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