Canadian PPI (Aug MM) 1.3% vs. Exp. 0% (Prev. 0.6%)

The distinction worth drawing is between a commodity-led spike, which tends to wash out of the year-over-year rate without feeding consumer prices, and evidence of stickier pass-through, which is what would matter for the policy path. The transmission question is whether the heat shows up downstream: the raw materials component and the next CPI print are the established tells, since producer prices have historically led consumer goods inflation only partially and with a lag. Bank of Canada reaction to single data points of this kind has tended to be muted; one hot PPI has rarely shifted the policy narrative on its own, though consecutive beats would start to complicate a dovish read. Worth observing are whether revisions confirm the strength and whether the move is concentrated in a handful of components or spread across the basket. As a data point rather than commentary, the signal is factual but its persistence is unproven.