The consumer price index rose 2.5 per cent compared to a year ago, down from a rate of 2.7 per cent in June, according to Statistics Canada. It was the slowest rate of increase since March 2021. (The Logic)

Talking point: The figures are good news for the Bank of Canada’s ongoing battle against inflation and adds to the case for cutting rates at its next meeting on Sept. 4. In a note, CIBC senior economist Andrew Grantham predicted the central bank will cut rates by a quarter of a percentage point at each of the three remaining meetings in 2024. In June, the Bank of Canada made its first cut to its key interest rate in more than four years, dropping it further to 4.5 per cent in July. Statistics Canada will release figures on retail spending on Friday and second-quarter gross domestic product on Aug. 30. Central bank economists consider economic growth as well as spending in their rate decisions, and weak growth supports the case for cuts.