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Macklem On What Is Meant By Underlying Inflation

CANADA
  • We’ve been talking a lot about underlying inflation today (noting the concern of its persistence) and it’s more of a concept than a measure and reflects a number of things.
  • The Bank's preferred measures of core inflation ((CPI-trim, CPI-median) are a very important element), but we also look at other measures such as CPIxFE, CPIX and the breadth of price gains.
  • Those are some of the key things we’re looking at as we assess the trend - we’re looking for continued evidence that inflationary pressures are easing with clear downward momentum.

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