The Consumer Price Index (CPI) in Canada grew by about 5.9% in January on an annual basis, according to figures released moments ago, compared to 5.3% in the December reading, better than expectations that indicated a rise to 5.7%, while the main index, excluding gasoline prices, rose to 5%.

On an annual basis of 5.4%, better than expectations, which indicated an increase to 5.5%. On a monthly basis, the index rose by 0.5% in January, after declining by 0.6% in December, while expectations were for a growth of 0.2%, and core prices rose by 0.3%.

The annual inflation growth in January was supported by an increase in food prices by about 10.4% and an increase in shelter prices by about 6.6%.

On the other hand, retail sales increased by 0.5% to reach $62.1 billion in December, as sales increased in seven out of 11 sub-sectors representing 75.1% of retail trade, led by the increase in sales in auto and spare parts trade by 3.8%, and general merchandise stores by 1.7%.

Core retail sales, which exclude petrol stations and car dealerships, rose 0.1%.

The Canadian dollar is trading at 1.3490 levels, declining against the US dollar by more than 50 points, as expectations rose that the Canadian Central Bank will reduce monetary tightening in the coming period, after these figures.