Canada’s trimmed Consumer Price Index (CPI), a core inflation measure closely watched by policymakers, edged down to 2.3% year-over-year in February 2026, from 2.4% in January 2026. The latest data, updated on 16 March 2026, indicate a modest but continued easing in underlying price pressures.
Both the current and previous readings compare inflation in each month to the same month a year earlier. The slight decline in February’s trimmed CPI reinforces the view that core inflation is gradually moving closer to the Bank of Canada’s 2% target range, potentially shaping expectations around the timing and pace of future monetary policy decisions.
While the change is small, the second consecutive month of relatively subdued core inflation suggests that underlying price growth may be stabilizing, offering some relief to households and financial markets monitoring the trajectory of Canadian inflation.
