Canada’s inflation rate came in at 1.7 per cent in May, unchanged from the previous month, Statistics Canada said on Tuesday.
The agency points to slower increases in shelter costs like rent and mortgages as a big factor keeping inflation lower.
StatsCan says Ontario saw some rent relief as a result of slower population growth and a jump in new supply compared with last spring.
The removal of the consumer carbon price continues to temper annual inflation at the gas pumps.
StatsCan says the cost of a new vehicle accelerated in May, rising 4.9 per cent annually, thanks in large part to more expensive electric vehicles.
Core inflation figures also showed signs of modest easing — something the Bank of Canada will be paying close attention to as it prepares for its next interest rate decision on July 30.
More to come.
