The Canadian August consumer price index:

  • Headline CPI +2.1% vs +2.1% y/y expected
  • Prior was +2.1% y/y
  • Core CPI 2.1% vs 1.8% y/y exp
  • Prior core CPI was +1.7% y/y
  • Core m/m up 0.5% vs 0.2% exp

Focus on the core. CAD rallying, knocking USD/CAD below this week’s lows to the lowest since Sept 8.

This is the first time the core CPI is above 2% since April 2014.