FX.co ★ Canada Producer Prices Rise Less than Anticipated

Canadian producer prices rose 0.4% month-over-month in February 202[sic – year appears incomplete], down from an upwardly revised 2.8% increase in January and below market expectations of a 1.1% gain. A sharp rise in energy and petroleum products (+7.8%)—driven in particular by diesel fuel (+10.5%) and finished motor gasoline (+5.7%)—was largely offset by lower prices for primary non‑ferrous metals (-3.7%) and meat, fish, and dairy products (-5.9%).

On an annual basis, producer prices were up 5.4%, following an upwardly revised 5.6% increase in the previous month. Meanwhile, the prices of raw materials purchased by Canadian manufacturers rose 0.6% month-over-month and were 8.6% higher than a year earlier.