The Financial Post reports in its Wednesday edition that Canada's headline inflation rate cooled for the second month in a row in August, running at an annualized pace of 7 per cent that was lower than economists' expectations of 7.3 per cent and down from July's reading of 7.6 per cent. The Post's Stephanie Hughes writes that the deceleration in the consumer price index was the largest since early in the COVID-19 pandemic, Statistics Canada said Tuesday. The drop largely stemmed from lower gasoline prices, which fell 9.6 per cent from the month before, the largest monthly decline since April, 2020. The price of gasoline, however, remains 22.1 per cent higher than last year. Excluding gasoline, inflation rose 6.3 per cent year-over-year, down from a 6.6-per-cent increase in July. Travel and accommodation costs also rose at a slower pace. The price of groceries, however, surged 10.8 per cent from the year before, the fastest pace since 1981, driven higher by extreme weather, higher input costs and the disruption of supply chains caused by Russia's unprovoked invasion of Ukraine. Inflation remains well above the Bank of Canada's target. CIBC says, "As such further interest rate hikes are still in the cards."