0943 ET - The Bank of Canada has no reason to move off its belief that underlying inflation sits at about 2.5% after a review of October's CPI data, says Doug Porter, chief economist at BMO Capital Markets. Inflation eased in October to 2.2%, but Porter argues the underlying details "were a tad on the disappointing side." He notes an old gauge of annual core CPI--prices excluding food and energy--rose in October, to 2.7%. Leading the charge was the biggest increase in telecommunications services in over 40 years. Rent prices accelerated, as did home-insurance costs, Porter adds. The October report, he says, "is just another reason to believe" the BOC is firmly on the sidelines. (Paul.Vieira@wsj.com; @paulvieira)
(END) Dow Jones Newswires
November 17, 2025 09:43 ET (14:43 GMT)
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