Inflation in Canada jumped to almost 3 per cent last month over the same period a year before. The new rate of 2.9 per cent is higher than April, which was 2.7.
The cost of living went up in Newfoundland and Labrador last month to 2.6 per cent, the same increase as in April. Inflation in St. John’s topped the national average at 3.2 per cent, an increase from 2.9 in April.
Statistics Canada reported prices for services rose 4.6 per cent from a year ago as consumers paid more for cellular services, travel and rent. Prices for goods rose one per cent.
Grocery prices rose 1.5 per cent year-over-year in May, a tick higher compared with April, when they rose 1.4 per cent.
The latest consumer price report comes after the Bank of Canada cut its benchmark interest rate by a quarter of a percentage point earlier this month to 4.75 per cent.