Canadian consumer price inflation falls 0.1% in November

Statistics Canada released consumer price inflation data on Friday. Canadian consumer price inflation fell 0.1% in November, missing expectations for a 0.1% gain, after a 0.1% rise in October.

The monthly drop was mainly driven by declines in clothing and footwear, and recreation, education and reading prices.

Clothing and footwear fell 1.0% in November, while recreation, education and reading prices dropped 1.8%.

On a yearly basis, the consumer price index increased to 1.4% in November from 1.0% in October, missing expectations for a rise to 1.5%.

The consumer price index was partly driven by higher food and shelter prices. Food prices climbed 3.4% year-on-year in November, while transportation prices decreased 1.1%.

The index for recreation, education and reading climbed by 1.9% in November from the same month a year earlier, the shelter index gained 1.2%, while gasoline prices dropped 10.6%.

The Canadian core consumer price index, which excludes some volatile goods, dropped 0.3% in November, after a 0.3% gain in October.

On a yearly basis, core consumer price index in Canada declined to 2.0% in November from 2.1% in October, missing expectations for a gain to 2.3%.

The Bank of Canada's inflation target is 2.0%.