Airfares in Canada up 2.0% y/y in June and up 18.6% versus 2019 according to CPI data
Canadian CPI data for June was released this morning, and the air transportation component increased y/y for the second straight month and was well-ahead of June 2019 (pre-COVID). StatCan undertakes a fairly comprehensive monthly fare survey, and based on this, we note the following:
• Relative to June 2023, the index was up 2.0%.
The y/y increase in June follows a 4.5% y/y increase in May and a flat print in April.
Fares were up 5.7% sequentially after increasing 2.3% sequentially in May, noting that June is a seasonally stronger month for air travel.
• Relative to June 2019, the index was up 18.6%.
The June increase versus 2019 was higher than both the May and April increases versus 2019 of 15.6% and 15.7%, respectively.