The growth rate of Canada's consumer price index fell to its lowest level in more than three years in September, making it more likely that the Bank of Canada will cut interest rates by 50 basis points next week. Statistics Canada announced in Ottawa on Tuesday that the consumer price index rose 1.6% year on year in September, lower than the 2% increase in the previous month. Economists surveyed by Bloomberg previously had a median forecast of 1.8%. This marks the first time since February 2021 that inflation has fallen below the central bank's 2% target, and it is also the ninth month in a row that the overall inflation rate has been operating within the central bank's target range. As inflationary pressure continues to subside and policymakers pay more attention to maintaining economic growth, the data provides the central bank with an option to cut interest rates faster. At the past three meetings, the Bank of Canada cut interest rates by 25 basis points each time.

The growth rate of Canada's consumer price index fell to its lowest level in more than three years in September, making it more likely that the Bank of Canada will cut interest rates by 50 basis points next week. Statistics Canada announced in Ottawa on Tuesday that the consumer price index rose 1.6% year on year in September, lower than the 2% increase in the previous month. Economists surveyed by Bloomberg previously had a median forecast of 1.8%. This marks the first time since February 2021 that inflation has fallen below the central bank's 2% target, and it is also the ninth month in a row that the overall inflation rate has been operating within the central bank's target range. As inflationary pressure continues to subside and policymakers pay more attention to maintaining economic growth, the data provides the central bank with an option to cut interest rates faster. At the past three meetings, the Bank of Canada cut interest rates by 25 basis points each time.