* Annual inflation 0.5 pct in Jan, down from 0.8 pct in Dec * Retail trade drops 2.1 pct in Dec from Nov * Both figures are weakest in about three years * Expectations soften for GDP and for rate increase By Randall Palmer and David Ljunggren OTTAWA, Feb 22 (Reuters) - Canada's economy registered its lowest inflation in more than three years in January and the largest decline in retail sales in almost three years ...
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