Statistics Canada released inflation data Tuesday. Photo by Postmedia

Canada’s inflation rate decelerated to 1.7 per cent in July, down from 1.9 per cent the month before, driven by a drop in gasoline prices after the removal of the consumer carbon tax., Statistics Canada reported Tuesday.

Gasoline prices were down 16.1 per cent year-over-year and down 0.7 per cent on a monthly basis, after a ceasefire between Iran and Israel and increased production by the Organization of the Petroleum Exporting Countries and its partners. Despite the headline number, seven major components in the consumer price index basket rose in July, Statistics Canada said.

Excluding gasoline, the CPI rose by 2.5 per cent in July, matching increases in June and May. Excluding indirect taxes, inflation accele

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