Canadian producer prices fell in July, marking its biggest month-over-month decline in nearly three years on lower prices for motorized and recreational vehicles. The country's raw-materials price index also fell because of lower metal ore prices.
Canada's industrial product price index dropped 1.5% in July, its biggest decline since December 2014, Statistics Canada said Tuesday, after a 1.1% pullback in the previous month. Market expectations were for a 0.7% decline in the month, according to economists at the Royal Bank of Canada.
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The index measures the price manufacturers in Canada receive once their goods leave the plant. It doesn't reflect the final prices consumers pay for goods on store shelves.
Of the 21 commodity groups tracked for the index, 18 fell, two were unchanged, and one rose.
On a year-over-year basis, producer prices rose 1.3%.
Meanwhile, prices for raw materials used by manufacturers in July fell 0.6%, its third straight monthly decline. On a 12-month basis, raw materials prices rose 4.3%. Economists at the Royal Bank of Canada expected a 0.3% monthly decline.
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(END) Dow Jones Newswires
August 29, 2017 09:04 ET (13:04 GMT)