Mortgage interest still driving inflation, as overall rate nudges up to 2.9% [Video]

Canada’s inflation rate went up slightly in March compared to February, with Statistics Canada pointing out gasoline prices are partly behind the increase.

The federal agency’s consumer price index for March 2024 saw a 2.9 per cent increase compared to the year before.

In February, that measure was at 2.8 per cent, so while March saw an increase in inflation, the situation would be different if often-volatile gasoline prices are excluded from the calculation.

According to Statistics Canada, without gasoline prices, inflation actually went down slightly in March. Economists such as Pedro Antunes point out that “core” inflation, which strips out some of the more volatile and irregular prices, seems to be weaker than expected.

“That’s definitely good news,” said Antunes, chief economist with the Conference Board of Canada, who also pointed out that many inflation numbers are now getting within the Bank of Canada’s targets.

Canada’s central bank had …