CPI for March at 1.4%

We take a break from my discussions about money, its philosophical strengths, and its ability to disrupt lives, and we go back to some tangible, real statistics.

Stats Canada released the CPI numbers for March 2008, and inflation’s growth dropped again year after year to 1.4% . This, in theory, means that everything you bought last year now costs 1.4% more than it did then, which is not valid and you should look at the tables at the end of this article, which goes into far more detail by expenditure type.

This still boggles my imagination, given the gas price and its continued rise (now $1.17 per litre here in Ottawa), but the Canadian dollar’s strength in the world may be buffering this effect.

We can see without energy costs included inflation is close to 1%, which is amazing, yet, we must also remember that this may change very quickly.

This should mean continued lower interest rates, as inflation is under control now.

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Inflation Graphs and Tables

Consumer Price Index and major components
(2002=100)
	Relative importance	March 2008	February 2008	March 2007	February to March 2008	March 2007 to March 2008
		Unadjusted
					% change
All-items	100.002	112.6	112.2	111.1	0.4	1.4
Food	17.04	112.6	112.8	112.2	-0.2	0.4
Shelter	26.62	120.1	119.6	115.4	0.4	4.1
Household operations and furnishings	11.10	104.1	104.1	103.2	0.0	0.9
Clothing and footwear	5.36	96.0	94.1	97.5	2.0	-1.5
Transportation	19.88	117.8	117.0	117.7	0.7	0.1
Health and personal care	4.73	107.9	107.7	106.4	0.2	1.4
Recreation, education and reading	12.20	101.3	100.8	100.9	0.5	0.4
Alcoholic beverages and tobacco products	3.07	126.6	126.8	124.1	-0.2	2.0
All-items (1992=100)		134.1	133.6	132.3	0.4	1.4
Special aggregates
Goods	48.78	108.1	107.4	108.8	0.7	-0.6
Services	51.22	117.1	116.9	113.4	0.2	3.3
All-items excluding food and energy	73.57	109.6	109.4	108.5	0.2	1.0
Energy	9.38	143.2	139.4	135.9	2.7	5.4
Core CPI	82.71	110.9	110.7	109.5	0.2	1.3
1. 2005 CPI basket weights at April 2007 prices, Canada : Effective May 2007. Detailed weights are available under the Documentation section of survey 2301 at (www.statcan.gc.ca/english/sdds/index.htm). 2. Figures may not add to 100% due to rounding. 3. The measure of Core Consumer Price Index (CPI) excludes from the all-items CPI the effect of changes in indirect taxes and eight of the most volatile components identified by the Bank of Canada: fruit, fruit preparations and nuts; vegetables and vegetable preparations; mortgage interest cost; natural gas; fuel oil and other fuel; gasoline; inter-city transportation; and tobacco products and smokers' supplies. For additional information on Core CPI, please consult the Bank of Canada website (www.bankofcanada.ca/en/inflation/index.htm).

Consumer Price Index 2008

• Inflation was lower in January 2008: some better news to start the New Year?
• February 2008 Inflation was at 1.8%
• March 2008 Inflation dropped to 1.4%
• April 2008 CPI jumped to 1.8%, uh oh
• May 2008 and Inflation is at 2.2%? Ouch!
• June 2008 Inflation Jumped to 3.2% thanks to Gasoline!
• July 2008 CPI at 3.4%? Holy Moly!
• Inflation at 3.5% for August 2008 : Learn about the Consumer Price Index (CPI) data for August 2008. Gain insights into inflation rates and economic indicators.
• September 2008 saw CPI at 3.4% down a very slight amount.
• CPI drops to 2.6% in October 2008: CPI for that month seems to be getting better.
• Consumer Price Index at 1.2% to end 2008. Analyzing the December 2008 Consumer Price Index: Dive into the major factors affecting the CPI, including plummeting gas prices and deflation.