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ExplainedEconomics

How the Bank of Canada's SID tool segments the price index

Segmented Inflation Dynamics (SID) is a data-driven tool for assessing trend inflation. It uses time-series segmentation to divide the price index into contiguous segments with stable inflation rates. Based on data through December 2025, the Bank says SID indicates Canada's trend inflation has been near 2 percent since early 2024.

Based on publisher excerpts

Bank of Canada ↗Segmented Inflation Dynamics (SID): Identifying Trend Inflation from the Price Index