Canadian Consumer Prices Beat Estimates, Annualized CPI Unexpectedly Rises in May

Canadian CPI slowed to an 0.1% clip in May, stronger than projected (median -0.3%) following an 0.4% y/y rate of increase in April. The slowing in y/y growth was accompanied by a 0.7% m/m rise (median 0.3%) that came in well above the 0.1% dip in April. Core CPI picked-up to a 2.0% y/y pace, stronger than expected (median 1.6%), from 1.8%. Yet the 2.0% rate marked the fifth straight month that that index has been at or below 2.0%. The core index rose 0.4% m/m following the 0.1% gain in April.