BOC Governor Macklem said the temporary US‑Iran agreement to end hostilities and restore crude flow through the Strait of Hormuz is a welcome development for the global economy, and global energy prices have begun to decline, though many issues remain. Canada’s May headline inflation accelerated to its highest level since 2023, driven by higher gasoline prices. Economists say an immediate pullback in energy prices should ease headline inflation, and with core CPI appearing contained this should

BOC Governor Macklem said the temporary US‑Iran agreement to end hostilities and restore crude flow through the Strait of Hormuz is a welcome development for the global economy, and global energy prices have begun to decline, though many issues remain. Canada’s May headline inflation accelerated to its highest level since 2023, driven by higher gasoline prices. Economists say an immediate pullback in energy prices should ease headline inflation, and with core CPI appearing contained this should give the BOC further comfort.