The increased cost of filling your gas tank was just enough for Canada's inflation rate to go up slightly in March.
Statistics Canada released its Consumer Price Index update (CPI) for March on Tuesday. It showed that the inflation rate rose to 2.9 per cent from March 2023, compared to the 2.8 per cent rate reported in February.
"Gasoline prices contributed the most to the year-over-year headline acceleration, as prices at the pump rose faster in March compared with February," read the report. "Excluding gasoline, the all-items CPI slowed to a 2.8 per cent year-over-year increase, down from a 2.9 per cent gain in February."
Gas prices went up 4.5 per cent year-to-year in March, a far cry from the 0.8 per cent increase in February.
"Higher global prices for crude oil stemmed from supply concerns amid geopolitical conflict and continued voluntary production cuts, leading to higher prices at the pump," read the report.
Rent and other expenses involving shelter also put pressure on the inflation rate. The cost of shelter went up 6.5 per cent in March, the same rate as in February. The cost of rent alone was up 8.5 per cent last month, higher than the 8.2 per cent reported the month before.
The March CPI report also singled out the price of clothing and footwear. That index rose 1.4 per cent following two months of decreases. Clothing and footwear are highly seasonal portions of the CPI since at this time of year, warm-weather fashions are hitting the racks.
The cost of store-bought groceries rose by 1.9 per cent in March, down from 2.4 per cent in February.
Statistics Canada plans to release the April CPI report on May 21.