By Rosalind Russell-
Financial experts say yesterday’s decline in the inflation rate is unlikely to prevent another big
jump in interest rates, when Bank of Canada officials meet early next month.
Statistics Canada put Julys increase in the Consumer Price Index at 7.6 per cent, down from the 8.1 per cent recorded in June, and the first time the rate declined in more than two years.
But analysts note the drop was solely due to lower gas prices.
Almost everything else is still rising in cost, food prices, for example, are up 9.9 per cent over last July.
Bank of Canada Governor Tiff Macklem says, while July’s figures are a “relief,” there’s still much work to do to tame inflation.
Photo: We can expect to see a jump in interest rates when the Bank of Canada next meets in September. Photo: Canadian Currency (Photo supplied by Pixabay)