Inflation accelerated in May as the costs of services and groceries ticked up, Statistics Canada said Tuesday.
The annual rate of inflation was 2.9 per cent in May, the agency said. That’s up from the 2.7 per cent annual rate in April.
Statistics Canada said inflation on services drove up the headline figure as Canadians paid more on rent, cell services, travel tours and air transportation. Travel to the United States drove the increases in travel costs, the agency noted.
Grocery prices also accelerated slightly, with annual inflation here rising 1.5 per cent, up 0.1 percentage points from April’s pace. The month-to-month increase in grocery prices was the largest seen since January 2023, StatCan said, with cost hikes here driven by fresh fruit and vegetables, meat and non-alcoholic beverages.
The Bank of Canada can’t control the Foreign Exchange markets, and when it lowers interest rates, it signals to the Federal Government that there is nothing wrong with their Fiscal policies.
We can focus on how the Carbon tax and the new capital gains tax are putting a huge strain on investment, but the damage Justin Trudeau has done to the country is worse than that, because Justin Trudeau has also been changing Canada’s TAX CODE and adding layers upon layers of regulations, as well as adding taxes on top of existing taxes.
So when Tiff Macklem lowers interest rates, he’s sending a signal to Justin Trudeau: “Yes, more of that, please.” People have to remember that we’re not on a GOLD STANDARD, the modern monetary system revolves around BALANCE SHEETS, or as most of now call LEDGER MONEY, which for myself comes from the teachings of Jeffrey P. Snider at Eurodollar University.
The PRODUCTIVE members of our society and world are watching government LEDGERS and basing their investment decisions on those ledgers, I can only point to Tiff Macklem’s decision to cut rates to revolve around POLITICS because Justin Trudeau, as well as the finance minister Chrystia Freeland, have extremely low financial IQ’s, however, these two politicians imagine themselves to be competent with finances and therefore, during their tenure are unlikely to make the reforms necessary to correct the mistakes they caused. So this uptick in inflation is Tiff Macklem’s fault.
