This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.

You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/8210603.stm

The article has changed 2 times. There is an RSS feed of changes available.

Version 0 Version 1
Steep drop in Canadian inflation Steep drop in Canadian inflation
(about 2 hours later)
A sharp fall in energy prices has seen Canada's annual rate of inflation drop by the largest amount in 56 years. A sharp fall in petrol prices has seen Canada's annual rate of inflation drop by the largest amount in 56 years.
Consumer prices fell by 0.9% in July compared with the same month a year earlier - technically deflation. It follows a fall of 0.3% in June.Consumer prices fell by 0.9% in July compared with the same month a year earlier - technically deflation. It follows a fall of 0.3% in June.
Prices at the petrol pump were more than 28% cheaper last month than in July 2008, official figures show.Prices at the petrol pump were more than 28% cheaper last month than in July 2008, official figures show.
However lower fuel costs were partially offset by an increase in the price of food, the government said.However lower fuel costs were partially offset by an increase in the price of food, the government said.
The consumer price index measures a basket of essential purchases, including housing, clothes, shoes and transportation.The consumer price index measures a basket of essential purchases, including housing, clothes, shoes and transportation.
The negative reading was the largest since July 1953 when it fell 1.4% according to Statistics Canada.The negative reading was the largest since July 1953 when it fell 1.4% according to Statistics Canada.
However the decline in prices comes amid a more upbeat overall economic outlook with the country's central bank last month predicting a return to growth in the third quarter of 2009.However the decline in prices comes amid a more upbeat overall economic outlook with the country's central bank last month predicting a return to growth in the third quarter of 2009.