FX.co ★ Canada Inflation Rate Holds Near BoC Target

In November 2025, Canada's headline inflation rate remained steady at 2.2%, the same as in October and slightly below the anticipated 2.3%. This rate continues to edge towards the Bank of Canada's projected baseline goal of 2% in the near term. The decline in gasoline prices slowed to 7.8% year-over-year, a reduction from the 9.4% drop observed in October, as monthly price increases were influenced by refinery disruptions. Food inflation accelerated with store-bought food prices increasing by 4.7% compared to the previous year. This marks the fastest rate of growth since late 2023, spurred by rising costs of fresh fruits and other food items. Meanwhile, rent inflation slowed to 4.7% from the previous 5.2% in October, contributing to a general easing of price growth in the shelter category. Conversely, prices for cellular services surged by 12.7% year-over-year, continuing their upward trend in the absence of widespread promotional discounts across the sector. Core inflation, which excludes volatile items such as food and energy, stabilized at 2.6% for the third consecutive month, indicating ongoing underlying price pressures despite the cooling of certain service categories.