OTTAWA — Grocery prices are still rising at a far higher pace than overall inflation, despite moderating somewhat in July.
The price of groceries grew 8.5 per cent in July compared to last year.
That’s down from a 9.1 per cent annualized gain in June, as prices for fresh fruit and bakery products rose at a slower pace.
However, it’s a far cry from headline inflation of 3.3 per cent, which has significantly fallen from a high of more than eight per cent last year.
RBC economist Claire Fan says food price inflation is expected to continue easing in the coming months as lower commodity prices and easing supply chain pressures pass through to retail products.
Some forecasters are saying the latest inflation report has raised the odds of an interest rate hike next month from the Bank of Canada.
This report by The Canadian Press was first published Aug. 15, 2023.
The Canadian Press
