FX.co ★ Canada’s Trimmed CPI Holds Steady at 1.9% YoY in July, Signalling Stable Core Inflation

Canada’s trimmed Consumer Price Index (CPI), a key measure of core inflation closely watched by policymakers and markets, remained unchanged at 1.9% year-over-year in July 2026. The figure matches June 2026’s 1.9% reading, indicating that underlying price pressures were stable heading into the second half of the year.

The trimmed CPI strips out the most volatile price components, providing a clearer view of the economy’s underlying inflation trend. According to the latest data update on 17 August 2026, both the June and July readings represent year-over-year comparisons with the same months a year earlier, underscoring that core inflation has been moving in a relatively narrow range.

The steady 1.9% print in July suggests that there has been no recent acceleration in core inflation on a year-over-year basis, a development that may support expectations for a measured approach by policymakers as they balance inflation control with broader economic conditions.