Inflation rate eases more than expected, global IT outage disruptions and the best mortgage rates in Canada: Business and investing news for July 21

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Getting caught up on a week that got away? Here’s your weekly digest of the Globe’s most essential business and investing stories, with insights and analysis from the pros, stock tips, portfolio strategies and more.

Canada’s inflation rate eases more than expected in June to 2.7%

Canada’s inflation rate fell by more than expected in June, boosting the likelihood that the Bank of Canada will cut interest rates again next week. The Consumer Price Index rose by an annual 2.7 per cent in June, down from 2.9 per cent in May, Statistics Canada said Tuesday in a report. Financial analysts were expecting an inflation rate of 2.8 per cent. The drop was largely due to softer growth in gas prices, while core inflation measures were marginally down, Matt Lundy reports. It also means that the annual inflation rate has been within the central bank’s target range of 1 per cent to 3 per cent for six consecutive months. All eyes are now on the Bank of Canada, which announces its next policy rate decision on July 24.

Global tech outage disrupts industries across multiple sectors

Earlier this week, a global tech outage wrecked havoc on computer systems around the world. It grounded flights, forced broadcasters off the air and disrupted services in multiple sectors – from banking to health care to railways. A software update from global cybersecurity company CrowdStrike appeared to trigger the system problems, affecting customers using Microsoft’s Windows Operating System. Toronto-based Porter Airlines cancelled all Friday flights until 3 p.m. ET and Toronto-Dominion Bank experienced service interruptions to its WebBroker online trading platform. University Health Network also said some of its systems had been affected by the outage. Microsoft later said on Friday that the issue had been fixed, but residual impact continued to affect some services.

Decoder: Shipping costs are spiking again

Shipping costs are rising again. According to an index of eight major shipping routes from maritime consultancy Drewry, freight rates have soared by 257 per cent this year. From Shanghai to Los Angeles, for example, the rate for shipping a 40-foot container is roughly US$7,300. That is up from US$1,965 a year ago. The rise in shipping costs has been attributed to a variety of factors, including a boost in demand for discounted Chinese products and ships having to take longer routes because of conflict in the Red Sea. The good news, though, is that costs are still well below the peak levels of 2021. Matt Lundy takes a closer look at the figures in this week’s Decoder.

Suncor CEO Rich Kruger talks politics of oil and gas and the company’s future

Rich Kruger was lured out of retirement in early 2023 to take over as the head of Suncor – and he has been ruffling political feathers ever since. About five months into the job, he said on an earnings call that the company had spent a “disproportionate emphasis on the longer-term energy transition.” He said it needed to revise its direction toward the immediate financial opportunities in the oilsands. Those comments became something of a political football between Ottawa and Alberta. Emma Graney sat down with Mr. Kruger recently to get his take on the politics of oil and gas, and talk about where Suncor goes from here – including the future of its oil sands Base Plant site north of Fort McMurray, Alta.

All major Canadian grocers agree to sign on to grocery industry code of conduct

In other news, all of Canada’s major grocers have now agreed to sign on to a grocery code of conduct after years of contentious negotiations. Costco Canada and Walmart Canada agreed to participate in the new rules, which are designed to improve fair dealings in the industry, especially between big grocers and their suppliers. Their agreements follow Canada’s largest grocer, Loblaw Cos. Ltd., which also dropped its earlier opposition to the code in May. The new code is expected to be implemented by June of next year. As Susan Krashinsky Robertson reports, it is unlikely to provide any relief to Canadians still reeling from significant increases in grocery prices but instead provide more economic certainty for suppliers.

The best mortgage rates in Canada? We tested five websites

Borrowing costs may still be uncomfortably high for most Canadians, Erica Alini writes, but anyone venturing into the mortgage market this summer will find a welcome silver lining: a growing variety of lenders and brokers vying to offer the lowest rates and the slickest user experience. The Globe tested five websites – Nesto, Perch, Pine, Wowa.ca and Ratehub.ca – in a head-to-head comparison to help prospective homebuyers and homeowners with upcoming mortgage renewals navigate the sea of choices. Here’s a look at the findings.

Get the rest of the questions from the weekly business and investing news quiz here, and prepare for the week ahead with The Globe’s investing calendar.