Article content continued

In total, six of the eight major components of the consumer price index were up.

Apart from the transportation index that includes gasoline, the only other component to decline was clothing and footwear — down 1.3 per cent.

The core inflation rate, which excludes some volatile items such as gasoline, was 1.9 per cent, down from 2.0 per cent in January.

Economists had expected Canada’s overall inflation rate to be 1.5 per cent and core inflation to be 2.0 per cent.

In a separate report, Statistics Canada reported unexpectedly strong retail sales for January, led by motor vehicle and parts dealers.

Overall, retail sales rose 2.1 per cent to $44.2 billion in January, compared with $43.2 billion in December.

The motor vehicle and parts dealers accounted for about one-quarter of January’s retail sales, rising 4.8 per cent from December to $11.6 billion the following month.

Retail sales were up in eight provinces in January, with Alberta showing a decline of 0.2 per cent and Prince Edward Island edging down 0.1 per cent from December.

The Canadian Press