Canada's annual inflation rate eased to 1.7% in July from 1.9% in the prior month as lower year-on-year gasoline prices kept the consumer price index low, data showed on Tuesday.

The pace of inflation in Canada cooled last month, offering some hope the central bank will resume lowering interest rates to help revive a sluggish economy being held down by trade uncertainty.Still,

Canada’s inflation rate fell to 1.7 per cent in July, slowing slightly more than expected and easing some fears about sticky price growth. Statistics Canada’s consumer price index report on Tuesday said the deceleration was led by a decline in gasoline prices, which reflected the removal of the consumer carbon price.