Canada's Consumer Price Index climbs 0.9% in 12 months ended in November following 0.7% increase in October, marking seventh time in last 13 months that index has risen less than 1% year-over-year: Statistics Canada
December 20, 2013
– The Consumer Price Index (CPI) rose 0.9% in the 12 months to November, following a 0.7% increase in October. November marked the 7th time in the last 13 months in which the CPI increased less than 1.0% on a year-over-year basis.
The 12-month change in the Consumer Price Index
The energy component of the CPI, which includes electricity, natural gas, fuel oil and gasoline, increased 2.3% on a year-over-year basis in November, after decreasing 1.6% in October. The CPI excluding energy rose 0.8% in November compared with the same month last year, following a 0.9% rise in October.
The larger year-over-year rise in the energy component was led by gasoline prices, which rose 0.4% in the 12 months to November, after declining 4.3% in October. Gasoline prices fell on a monthly basis in November, although to a lesser extent than in the same month last year.
Electricity prices rose 5.1% on a year-over-year basis, led by an 8.1% increase in Ontario. Natural gas prices advanced 5.3% in the 12 months to November. The cost of fuel oil was 3.3% higher compared with the same month last year.
12-month change in the major components
In the 12 months to November, six of the eight major components recorded gains. Higher shelter costs and food prices were the main contributing factors to the year-over-year increase in the CPI. Health and personal care, and clothing and footwear, were the only two major components to post declines on a year-over-year basis.
Prices increase in six of eight major components
Shelter costs rose 1.8% in the 12 months to November, following a 1.3% gain in October. In addition to paying more for electricity, natural gas and fuel oil, consumers paid 1.7% more for rent and 1.5% more for homeowners' replacement cost. In contrast, mortgage interest cost declined 2.1% on a year-over-year basis in November, after falling 2.6% the previous month.
Food prices rose 1.1% in November compared with the same month last year, after posting a 0.9% increase in October. The cost of food purchased from stores rose 1.1% in the 12 months to November, led by price increases for fresh vegetables (+12.1%) and meat (+1.9%). Conversely, prices for dairy products, cereal products as well as sugar and confectionery declined.
In addition to food purchased from stores, consumers paid 1.2% more for food purchased from restaurants on a year-over-year basis.
The transportation index increased 0.5% in the 12 months to November, following a 0.1% decline in October. In contrast to gasoline, prices for the purchase of passenger vehicles rose at a slower year-over-year rate in November (+0.4%) compared with October (+1.7%). This deceleration was mainly attributable to a smaller monthly price increase for the purchase of passenger vehicles in November 2013 compared with November 2012.
Prices for clothing and footwear declined 0.4% in the 12 months to November, led by price decreases for women's clothing.
The health and personal care component decreased 0.6% on a year-over-year basis in November, as the indexes for prescribed medicines, and personal care supplies and equipment declined.
12-month change in the provinces
Consumer prices rose in nine provinces in the 12 months to November. British Columbia was the exception, recording a decline on a year-over-year basis. The largest rise was recorded in Prince Edward Island, while the smallest increase was observed in Quebec. Saskatchewan was the only province where consumer prices rose at a slower year-over-year rate in November compared with October.
Consumer prices increase in nine provinces
In Prince Edward Island, consumer prices increased 2.6% in the 12 months to November, following a 2.0% rise in October. Of all the provinces, Prince Edward Island recorded the largest year-over-year increase in gasoline prices (+6.3%). This increase followed a 2.1% decline in October.
Quebec recorded a 0.6% increase in consumer prices in the 12 months to November, after posting a 0.2% rise in October. Quebec was one of four provinces where gasoline prices decreased on a year-over-year basis in November. In addition, prices for clothing and footwear declined more on a year-over-year basis in Quebec compared with the national average.
Consumer prices in Saskatchewan rose 1.4% in the 12 months to November, following a 1.5% increase in October. This province recorded the largest deceleration in the purchase of passenger vehicles index. In Saskatchewan, gasoline prices decreased 4.2% on a year-over-year basis.
Seasonally adjusted monthly Consumer Price Index increases
On a seasonally adjusted monthly basis, the CPI rose 0.2% in November, following a 0.1% decline in October.
Seasonally adjusted monthly Consumer Price Index
On a seasonally adjusted basis, five of the eight major components posted increases in November. The shelter index recorded the largest increase (+0.5%), followed by clothing and footwear (+0.3%) and food (+0.2%). However, before seasonal adjustment, prices for clothing and footwear declined 2.0% and food prices rose 0.8%. This indicates that the monthly movements in the unadjusted indexes for these two components were largely seasonal.
The transportation index (-0.6%) was the only component to decline on a seasonally adjusted basis in November. Before seasonal adjustment, the transportation index declined 0.4%.
Bank of Canada's core index
The Bank of Canada's core index rose 1.1% in the 12 months to November, after increasing 1.2% in October.
On a monthly basis, the seasonally adjusted core index posted no change in November for the second consecutive month.
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