The Canadian Statistics Agency announced that the annual inflation rate in Canada reached 2.0% in October 2024, indicating relative price stability and a return to the Bank of Canada's target range. This announcement came after a monthly increase of 0.4% compared to September 2024.

Factors affecting inflation:

• Food and energy: The rise in food and energy prices contributed to higher inflation, amid ongoing challenges in global supply chains.

• Housing: Rental and property costs remained high, impacting Canadian household spending.

This rate is within the target range set by the Bank of Canada (2%), which may influence the bank's decisions regarding interest rates, as it aims to maintain price stability and boost the national economy.

In October 2024, the annual inflation rate in Canada was 2.0%, reflecting a return to the Bank of Canada's target range (2%) after fluctuations experienced throughout the year. Monthly inflation recorded an increase of 0.4% compared to September, with sectors such as food, energy, and housing experiencing notable price increases.

At the provincial level:

• In Alberta, the inflation rate reached 3.0%, higher than the national rate, driven by rising energy and fuel prices.

• In Quebec, a lower inflation rate of 1.6% was recorded, with relative price stability compared to other areas.

• In Ontario and British Columbia, inflation was 2.0% and 2.4%, respectively, reflecting levels close to the national rate.

Impact of monetary policy:

The Bank of Canada closely monitors inflation, as price stability is one of its primary goals. These figures may affect the bank's future decisions regarding interest rates. The bank has raised interest rates several times during the year in an effort to control inflation, with indications of the possibility to maintain rates if inflation continues to stabilize.