Canada inflation hits 30-year high

Canadian inflation rose to 5.1 per cent in January -- far outpacing economists' expectations -- as price increases hit a 30-year high, the government statistical agency said Wednesday.

Rising fuel prices, along with food and shelter costs, were again major contributors to the monthly gain. The figure was up from 4.8 per cent in December.

"Covid-19 pandemic-related challenges continue to weigh on supply chains," adding to consumers' fuel and grocery bills, Statistics Canada said in a statement.

The largest price increases at the checkout were for meat, margarine, condiments, spices and vinegars, fresh fruit and bakery products, as well as beer and wine, the agency said. Drivers also paid more at the pump as  "concerns over global oil supplies in response to international political events" drove up gasoline prices, it said.