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Canada Industrial Prices Edge Down 1.4% in June as Tentative US-Iran Peace Deal Cut Energy Costs

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The Industrial Product Price Index fell 1.4% month over month in June, after a tentative deal between the US and Iran boosted prospects for shipping through the Strait of Hormuz and lowered energy prices, Statistics Canada reported on Friday.

The index which measures the prices of products made in Canada, had registered five monthly increases from January to May, the agency said. Prices for energy and petroleum prices dropped 9.1% in June after a run of monthly gains this year.

Excluding energy and petroleum products, the IPPI edged down 0.1%, mainly due to declining prices for primary non-ferrous metal products, which were down 4.7%.

Prices of Canada-manufactured products rose 12.4% year over year. Similarly, prices of raw materials purchased by manufacturers, fell 6.9% month over month but jumped 20.7% year over year, the Raw Materials Price Index showed. The monthly drop was the steepest since June 2022, StatsCan said.

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