Canada Inflation Rate Unchanged in November

Consumer prices rose 2.9% in the 12 months to November, matching the increase in October. While the 12-month change in gasoline prices continued to ease, the year-over-year increase in food prices remained high.

Gasoline prices rose 13.5% in the 12 months to November, after advancing 18.2% in October. The increase in November was the smallest year-over-year gain since the beginning of 2011.

Consumers paid 4.8% more for food in the 12 months to November, the largest increase since July 2009. The November gain follows a 4.3% increase posted in October.

On a year-over-year basis, prices increased in all eight major components in November. Transportation and food continued to post the largest increases.

The cost of transportation increased 5.7% in the 12 months to November, following a 6.7% gain in October. In addition to paying more for gasoline, consumers also paid more in passenger vehicle insurance premiums (+4.4%) and for the purchase of passenger vehicles (+1.8%).

Food prices rose 4.8% during the 12 months to November. Consumers paid 5.7% more for food purchased from stores as prices increased for common staples, including meat (+6.2%), fresh vegetables (+13.2%) and bread (+11.9%). Prices for food purchased from restaurants also went up.

Shelter costs rose 1.5% in the 12 months to November, matching the increase posted in October. The cost of fuel oil increased 24.4% in November after gaining 22.1% in October. Consumers also paid more for homeowners' replacement costs and electricity. Conversely, mortgage interest cost decreased 1.1% after falling 1.3% the month before., Statistics Canada
12/20/2011 1:22:38 PM