May PPI climbed 1.2% month-over-month, missing estimates, while annual inflation hit 13.6%, up from prior levels.
Canada’s producer price index increased 1.2% in May from April, below the 1.8% consensus forecast. The annual PPI rose to 13.6%, up from 11.4% in the prior period, signaling persistent inflationary pressures in the supply chain.
The prior month’s monthly gain was 2.0%, while raw materials prices grew 0.7% month-over-month, down from 2.6% in April. Year-over-year, raw materials prices surged 33.4%, slightly above the previous 31.6% reading.
Markets are assessing the data for implications on Bank of Canada policy, with traders watching for signs of easing price pressures.