USA crude prices were up 1.2% at $41.94 a barrel, while the Canadian dollar was trading 0.1% higher at 1.3090 to the greenback, or 76.39 US cents.
On a non-seasonally adjusted basis, average house prices in the United Kingdom increased by 1.7% between August and September 2020, compared with an increase of 0.1% in the same period a year ago.
The Consumer Prices Index (CPI) measure of inflation in the United Kingdom was 0.7% higher year-on-year in October 2020, up from 0.5% in September and a beat on consensus market expectations for a reading of 0.60%.
The increase was nearly entirely driven by rising food prices, particularly lettuce and fresh or frozen chicken, Statistics Canada said Wednesday.
On a month-on-month basis, prices were flat in October after growth of 0.4% in September.
The jump in October is the sharpest increase since June amid an eight-month spell where monthly readings have been under one per cent.
Some sectors may see big price increases for hot items such as equipment for a home gym or outdoor furniture, but Porter said it won't be enough to drive up overall inflation.
Unlike a year ago, food prices rose in October and people stocked up on potatoes and fruit.
Concerning the outlook for inflation, economists at PwC say the current UK-wide lockdowns will sap price growth from the economy into year-end.
In October 2020, the annual rate of inflation as measured by the Harmonised Index of Consumer Prices, HICP, was 0.6%, according to the latest data published by the National Statistics Office, NSO.
"While lower interest rates are reducing mortgage service costs, this is being overwhelmed by higher costs for new housing", James Marple, a senior economist with TD Economics, wrote in a note.
The Canadian dollar strengthened against its US counterpart on Wednesday, as positive news on a COVID-19 vaccine boosted oil prices and domestic data showing higher inflation reduced prospects of additional policy easing from the Bank of Canada.
"Core inflation has been very resilient over the pandemic period so far", said Derek Holt, vice president of capital markets economics at Scotiabank.
The common measure, which the Bank says is the best gauge of the economy's underperformance, gained slightly to 1.6% from 1.5% in September. That was the strongest gain for an October in the index's 22 years. The earliest the bank anticipates the economy would be able to handle higher rates is 2023.