Canadas inflation rate down a tick to 1.9% in November [Video]

Inflation edged down slightly to 1.9 per cent in November as price growth continued to stabilize in Canada.

Statistics Canada’s consumer price index report Tuesday showed inflation was down from two per cent in October.

Shelter costs increased at a slower annual pace of 4.6 per cent, while rent price inflation accelerated to 7.7 per cent.

Grocery prices continued to grow faster than overall prices, rising 2.6 per cent from a year ago.

“Inflation decelerated slightly in November, ahead of what will be a volatile period for CPI readings thanks to the temporary reduction in GST on certain items,” said CIBC senior economist Andrew Grantham in a note to clients. The federal government announced last month it would waive the five per cent sales tax on some products between Dec. 14 and Feb. 15.

Meanwhile, he said the impact of the Taylor Swift concerts on inflation was weaker than expected.

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