Canada saw an increase in its annual inflation rate to 2.4 percent in March, as reported by Statistics Canada on Monday. The surge in energy prices, particularly gas, attributed to the conflict in Iran, played a significant role in driving up inflation. Energy prices rose by 3.9 percent compared to the previous year and spiked by 13.1 percent on a monthly basis.
Anticipated by economists, the impact of higher gas prices resulting from the Iranian conflict was expected to push inflation upwards. A Reuters survey revealed that economists had forecasted a rise in the annual inflation rate to 2.5 percent in March from 1.8 percent in February, according to LSEG Data & Analytics.