A surprisingly low inflation rate, airline negotiation tips, and the decreasing cost of clothing: Business and investing stories for Oct. 20

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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 annual inflation rate slowed more than expected. It’s the first time in more than three years – since February, 2021 – that the inflation rate dropped below 2 per cent. The soft results on Tuesday were heavily influenced by gasoline prices, which fell 7.

The Bank of Canada is expected to cut the prime interest rate by an additional 2 or 2.5 percentage pointsfixed rates for five-year and three-year mortgages will likely drop by much smaller amounts . That’s because banks and mortgage providers often set their long-term mortgage rates based on the performance of bond markets. In general, weaker bond yields tend to align with lower rates, and vice versa. BMO senior economist Robert Kavcic says bond markets dropped considerably over the summer as they priced in universally expected rate cuts from the U.S and Canadian central banks throughout 2024 and early 2025. But in the last couple weeks, the bond market saw a small rebound as the U.S.

interaction with Air Canada over a cancelled flight could prove to be a lesson in airline negotiation for flyers . When Zachary Penner’s flight to Toronto was cancelled just half an hour before it was supposed to take off in mid-July, Air Canada automatically sent him a new ticket in economy class, the same fare he had purchased, for a flight leaving a day later. But a quick web search revealed that a business-class seat remained up for grabs on a similar flight departing just six hours after the cancelled one. Whileinitially refused to upgrade Mr.

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