October saw a decrease in Canada’s annual inflation rate from 3.8% in September to 3.1%

Monthly CPI increased by 0.1% in October after declining by 0.1% in September.

According to the Canadian Statistics Authority, the country’s annual consumer inflation decreased to 3.1% in October from 3.8% in September. This was announced on Tuesday.

The consumer price index (CPI) was less than the 3.2% market estimate.

Furthermore, the rate shows a notable decline from the 8.1% recorded in June of last year, which was the highest in 39 years.

The annual slowdown in inflation was mostly caused by decreased gas costs, which fell 7.8% in October, according to a statement from Statistics Canada.

“Excluding gasoline, the CPI rose 3.6% in October, following a 3.7% increase in September,” it stated.

However, the CPI increased by 0.1% on a monthly basis in October, matching market expectations but quickening from a 0.1% decrease in September.

“The monthly increase was largely driven by travel tours and property taxes and other special charges,” stated the statement. “On a seasonally adjusted monthly basis, the CPI fell 0.1%.”