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Hot Core Inflation, Tariffs Should Keep the BoC on Hold
It indeed went down, and up all at once! Weaker headline CPI isn’t the issue. What matters here is that Canadian core inflation remains hot and continues to put upward pressure on the BoC’s 2% inflation target. That’s true in terms of the Bank of Canada’s preferred core inflation readings (chart 1) and it’s also true for traditional core CPI that only excludes food and energy that climbed by the most since May (chart 2). charts Part of the reason for this is that there is trend momentum in underlying price pressures. Another part of the reason is that retailers may have snagged some of the room vacated by ... (full story)