Inflation Rate Rises

[treg50]

Inflation rises as gas prices soar

Canwest News Service Published: Thursday, June 19, 2008

OTTAWA -- Canada's inflation rate jumped to 2.2% in May from 1.7% the previous month as gasoline prices continued to soars, Statistics Canada said Thursday.

May marked the second consecutive monthly rise in the consumer price index and was the sharpest increase since January 2007. On a monthly basis, the CPI rose one% from April. ...

http://www.nationalpost.com/news/can...html?id=599198

[scortracer]

I bet the gov wished they cut interest rates now

[Eleanor]

Isn't ~2% the sweet spot (I honestly don't know much about economics and I was told by my ECON prof that 2% is about normal)

[blownz]

Originally posted by scortracer
I bet the gov wished they cut interest rates now

Why? Cutting rates would have likely increase inflation even more...

[Skyline_Addict]

Originally posted by Eleanor
Isn't ~2% the sweet spot (I honestly don't know much about economics and I was told by my ECON prof that 2% is about normal)

Yeah, about 1-3 is the typical goal of the Bank of Canada.

[Xtrema]

Originally posted by Eleanor
Isn't ~2% the sweet spot (I honestly don't know much about economics and I was told by my ECON prof that 2% is about normal)

I think that's per year, not per month.

[Canmorite]

2.2% is still within the normal range, but the 0.5% jump in ONE month isn't.