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Originally Posted by Doctorfever
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This article is 8 months out of date, misses the fact that a lot of base commodity prices have already significantly fallen off their peak, and that the reductions have started to trickle into markets, which was clear for anyone to see happening if they were involved in any of those markets 8 months ago.
2x4s went from $3.25 CAD to $13 CAD to $3.75 CAD
Oil went from $55 USD to $110 USD to $70 USD,
Steel went from $650 US to $1900 US and is hovering around $850 US now.
Increases almost all driven by shortages, that were caused by prolonged outages and low ball forecasts.
I'm sure I could find many more examples, but to pick out an article from the height of the supply shock that says because it happened across an array of industries it's not a supply shock is kind of ignoring a heap of evidence, and the numbers were so big that they basically dwarfed Canadian monetary policy to the point that it didn't matter.
This article also cites some of the other impacts
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Some inflation is imported from the U.S. When that country experiences inflation, Canada must follow or adapt to a higher exchange rate.
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