Canada: Headline CPI likely to hold at 2.5% y/y in July - TDS

Analysts at TD Securities are expecting Canada’s headline CPI to hold at 2.5% y/y in July, with prices flat on the month (market: 0.1% m/m, 2.5% y/y).

Key Quotes

“Energy prices should provide a tailwind on gasoline and warm weather, while currency depreciation and new tariffs on US imports will support other categories. BoC measures of core inflation should hold near 2.0% on average though we see scope for exclusion-based core measures to move higher. International securities transactions for June will be released alongside CPI.”