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The Governor of the Bank of Canada, Stephen Poloz.
The Governor of the Bank of Canada, Stephen Poloz.

Inflation comes to Canada (and that’s good)

They are far from the country’s most-watched economic indicators. Yet two low-profile reports from Statistics Canada this week provide some of the strongest signals yet that Canada is emerging from its disinflationary doldrums.

Tuesday’s release of the industrial-product and raw-materials price indexes showed that industrial prices – the prices Canadian producers of goods receive as their products leave the factory gate – rose 1.0 per cent in February from January, their fourth consecutive monthly rise. In the past three months (December through February) alone, industrial prices have jumped 3.1 per cent. And the upturn is broad-based; three-quarters of the component groups in the index showed price increases in February.