Statistics Canada has released the latest Consumer Price Index this morning which indicates that inflation has risen over the the 12 month period from December 2008 to December 2009 by a margin of 1.3%.  According to the report, the rise was attributed to a sharp rise in gasoline prices which were up 25.6% in December 2009 from the previous December, while overall energy prices increased 5.9% during the same time frame.

The Consumer Price Index has 8 indicators to determine what aspects of consumer spending have been affected by rising prices and this time 6 of them were all recorded as higher.  Only shelter, shoes, and clothes were lower, while transportation lead the way in increases, rising 4.7% December to December.  Finally, Atlantic Canada led the way with inflation and rising costs, especially because of the even higher rise in gas prices in that part of the country.

Read the whole report here.