Canada: CPI and retail sales in focus this week - NBF

In Canada, a lot of attention will be in February’s CPI, due to be released on Friday, according to analysts at NBF.

Key Quotes

“Gasoline prices were rather soft in the month by historical standards but headline prices could nevertheless have increased 0.5% m/m (not seasonally adjusted), pushing the annual rate up to 2.0%, from 1.7% in January. Core prices, for their part, may have continued rising at a decent pace in February, reflecting an economy running above potential. Still, the annual rate of CPI-common should remain unchanged at 1.8% due to a negative base effect.”

“In other news, both headline and ex-auto retail sales may have rebounded strongly in January, boosted by very strong auto sales and a good outlook for gasoline stations receipts (on account of rising pump prices). We’ll also get January’s wholesale trade sales.”