Canada economic data shows steady 3% inflation and falling rents

Canada's annual inflation rate remained steady at 3.0% in August, matching July levels. While the rise in gasoline prices slowed to 22.8% year-over-year, costs for organized travel surged by 26.1%. Core inflation measures, including the Bank of Canada’s CPI-trim and CPI-median, remain near the 2% target, leading economists to suggest that interest rates may remain unchanged through 2026.

In the rental market, the national average asking rent fell 4.8% year-over-year to $2,035 in August, marking the 23rd consecutive month of annual declines. This represents the steepest annual drop since March 2026. While national trends show a decline, specific regions like Langley saw modest monthly increases, and Nova Scotia remains one of the most expensive provinces for rentals.

Additionally, Statistics Canada reported that wholesale sales (excluding petroleum, hydrocarbons, oilseed, and grain) rose 0.3% to $93.1 billion in July. Growth was driven by the building materials and food sectors, though the mineral and precious metal industry group saw a significant decline of 31.4%.