Canada Inflation Quickens to 2.4%, Core Measures Heat Up (2)

Canadian inflation rose more than expected in September and core measures heated up, likely giving the Bank of Canada some reason for caution as they weigh further rate cuts.

The consumer price index rose by 0.1% on a monthly basis, Statistics Canada data showed Tuesday. Economists were expecting a 0.1% decline.

Headline yearly inflation accelerated to 2.4% from 1.9% in August, which was also stronger than the median projection of 2.2% expected in a Bloomberg survey of economists.

Excluding gasoline, the index rose to 2.6% in September, up from 2.4% the previous month. The report shows that underlying price pressures ...