Canada: Annual CPI rises to 1% in January vs. 0.8% expected

Anuual Core CPI in Canada rose to 1.6% in January.
USD/CAD trades in the positive territory around 1.2700.

Eren Sengezer FXStreet

Inflation in Canada, as measured by the Consumer Price Index (CPI), rose to 0.6% on a monthly basis in January from -0.2% in December, the data published by Statistics Canada revealed on Wednesday. On a yearly basis, the CPI climbed to 1% from 0.7% and came in higher than the market expectation of 0.8%.

Moreover, the Bank of Canada's Core CPI, which excludes volatile energy and food prices, increased to 1.6%, annually, during the same period and surpassed the analysts' estimate of 1.4%.

Market reaction

The USD/CAD pair showed no immediate reaction to this report and was last seen posting modest daily gains near 1.2700.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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