Canada inflation ticks higher in March to 2.9%

Ottawa: Inflation in Canada rose to 2.9 percent in March led by higher gasoline prices, the government statistical agency said Tuesday. The 0.1 per...

Ottawa: Inflation in Canada rose to 2.9 percent in March led by higher gasoline prices, the government statistical agency said Tuesday.

The 0.1 percentage point increase from 2.8 percent the previous month was largely expected after consumer inflation in the United States -- Canada's neighbor and biggest trading partner -- accelerated last week.

Rising costs of living are proving to be the biggest obstacle to both Canadian Prime Minister Justin Trudeau and US President Joe Biden's re-election hopes.

Biden is facing Donald Trump in a tight race to a November ballot while Trudeau trails his main rival, Conservative leader Pierre Poilievre, by more than 10 points in public opinion polls with an election looming in 2025.

Trudeau's Liberal government is to unveil its 2024 budget later in the day with tens of billions of dollars in new spending aimed at helping to ease the impacts of rising prices -- notably for homes -- on Canadians.