UK inflation accelerates to 10 4% in February The Economic Times Video ET Now


“We need to stick to our plan to halve it this year,” Hunt said Wednesday in response to the latest data. The BoE, whose chief task is to keep inflation close to two percent, will unveil its latest monetary policy decision on Thursday. Cpi international ltd unit suttons business park earley reading berks rg6 1az uk is a leading import company in Ukraine. Seair Exim offers the latest and 100% accurate import trade data report of Cpi international ltd unit suttons business park earley reading berks rg6 1az uk importer in Ukraine. Core CPI – which excludes energy, food, alcohol and tobacco and is watched closed by the BoE – rose to 6.2% from 5.8% in January, versus a forecast decline to 5.7%.

On February 14, the US CPI report came in stronger than predicted, which increased predictions that the Federal Reserve would need to keep raising interest rates to reduce inflation. The annual inflation rate in the US decreased marginally to 6.4% in January from 6.5% in December, which was below market estimates of 6.2% but more than the lowest rate since October 2021. The key event for Wednesday is set to be the monetary policy decision by the FOMC.

The small market movements might have appeared in the absence of the said news too. The decrease in January inflation numbers was mostly brought on by declining gasoline prices as well as reducing price pressures in cafes and restaurants. An increase in the price of tobacco and alcoholic beverages partially offset that. The increase was above economists’ expectations in a Reuters poll for inflation to rise to 9.8% in July, and will do nothing to ease the Bank of England’s concerns that price pressures may become entrenched. The UK economy shrank in the third quarter for the first time since the final lockdown of the pandemic as the cost-of-living crisis squeezed spending.

Dow futures rise 15 pts; caution ahead of Fed rate decision

The Consumer Prices Index rose 10.1 percent from a year ago, driven by the strongest increase in food prices in more than four decades, the Office for National Statistics said Wednesday. Stock market indices around the world continued to recover as the US 500 index surpassed the 4,000-level and other markets like the Germany 40 and Japan 225 Yen were also bullish. The Volatility Index VIX meanwhile came down from its recent high towards the price range also seen a month ago in the futures CFD contract. The consumer price index jumped to 10.4% in the 12 months through February from 10.1% the previous month, the Office for National Statistics said.

GBP/USD Fluctuates as UK CPI Remains Hot – TorFX News

GBP/USD Fluctuates as UK CPI Remains Hot.

Posted: Mon, 24 Apr 2023 10:02:56 GMT [source]

To bring down inflation, the Bank of England raised its benchmark interest rate for a 10th consecutive time in early February to 4 per cent, its highest level since autumn 2008. The UK has been in the grip of consistently high inflation for the past year and the annual rate has remained in double digits since summer. It has caused a worsening cost-of-living crisis for many households, and persistent and widespread strikes. The inflation rate for poor 10% of families was 11.9%, comparing to 9.2% for the wealthiest 10%.

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The rights issue corporate actions web for National Statistics said the price of food and non-alcoholic drinks rose by 19.1% in annual terms in March – the biggest such rise since August 1977. UK inflation rate shows signs of slowing down, as 12-month CPI decreased from 10.4 per cent in February to 10.1 per cent in March 2023, as per the Office for National Statistics . Clothing and footwear prices rose by 7.2 per cent over the 12 months ending in March 2023. The annual core CPI remained unchanged at 6.2 per cent in the year to March 2023.

UK CPI slowed to 10.1% yoy, core CPI unchanged at 6.2% yoy – Action Forex

UK CPI slowed to 10.1% yoy, core CPI unchanged at 6.2% yoy.

Posted: Wed, 19 Apr 2023 07:00:00 GMT [source]

Core inflation, excluding energy, food, alcohol and tobacco, fell to 5.3% in the 12 months to January 2023 from 5.8% seen in December. The BoE is battling inflation that is far above its 2% target, and has raised interest rates sharply over the past 12 months. Economists mostly expect it will raise rates again on Thursday to 3.5% from 3%. High prices of crude and edible oils, pulses and vegetables were among the main factors behind the high inflation during the year. This trend came against the backdrop of the Russia-Ukraine conflict that started in February and disrupted the global supply chain and pushed higher prices of many commodities.

After the withdrawal of liquidity, they started hiking rates and now Fed will be starting to reduce its balance sheet size. Let’s analyze the genesis of inflation, the reasons for current inflation, and what the future prospects are. According to the Office for National Statistics , increased costs in restaurants, hotels, cafés, and pubs – headed by alcoholic beverages – contributed the most to last month’s inflation figure. Eventually, after slowing speed and applying a break, there comes a U-turn on the policy stance. Surely, dollar bears would welcome this scenario and keep on piling up their bets against USD.

China pushes to digitise coal mines for safety, efficiency — where India stands

Other top cryptocurrencies also saw a drop, with Litecoin experiencing almost a 10% decline. The global cryptocurrency market cap fell by 3.92% in the last 24 hours and was trading at around $1.22 trillion. The next significant support level for Bitcoin is expected to be at $28,500. Inflation accelerated for the first time in four months in February as high food and energy prices hit consumers battered by the nation’s cost-of-living crisis.

However, the annual core CPI remained unchanged at 6.2 per cent in the year to March 2023, slightly below the rates seen in the fourth quarter of 2022. The CPI all goods index also decreased slightly from 13.4 per cent in February to 12.8 per cent in March 2023. In terms of a one-month rate, this clothing and footwear category saw a 1.6 per cent increase in March 2023, as compared to 2.5 per cent in March 2022. The slowdown in the annual CPI rate into March 2023 was driven by contributions from 6 of the 12 divisions, with the clothing and footwear segment’s downward contribution coming in at of 0.05 percentage points. With this data, we learn about the number of visitors to our site and the types of technology our visitors use. We never track or record information about individuals and their visits.

  • Food prices jumped 18% in the 12 months through February, compared with the 16.7% rate recorded the previous month.
  • However, the pound gained against the greenback following British inflation staying at 10% in March.
  • The UK economy shrank in the third quarter for the first time since the final lockdown of the pandemic as the cost-of-living crisis squeezed spending.
  • Rising inflation is also turning into a political problem for Prime Minister Boris Johnson’s government, which faces calls from the opposition and charities to offset an expected 50% rise in the regulated household energy prices this April.
  • British consumer price inflation rose more than expected to 5.4% in December, its highest in almost 30 years, official data showed on Wednesday, adding pressure on the Bank of England to raise interest rates again next month.

The annual inflation rate in the services sector, which most policymakers consider is a good measure of underlying price pressures in the economy, rose to 6.6% after standing at 6.0% in January. Most cryptocurrencies, including Bitcoin and Ethereum, experienced a decline in prices with the release of higher-than-expected UK inflation data for March. Bitcoin fell to its lowest point since April 10, dropping 3.64% to $29,020, while Ethereum declined by 5.60% to below $2,000.

Dollar holds gains on U.S. bank results, kiwi slides on CPI data

CPi worldwide journals are trade journals for the concrete and precast concrete industry that are published in 10 different language editions in more than 170 countries. These trade journals, with their practical editorial reporting on research, production and applications, are specifically addressing the decision makers of the concrete and precast concrete industry. The materials contained on this document should not in any way be construed, either explicitly or implicitly, directly or indirectly, as investment advice, recommendation or suggestion of an investment strategy with respect to a financial instrument, in any manner whatsoever. Any indication of past performance or simulated past performance included in this document is not a reliable indicator of future results. quickly moved to price in further rate hikes from the Bank of England, continuing the quickest tightening cycle in four decades. Policy makers led by Governor Andrew Bailey had signaled a pause was possible if inflationary pressures subsided, but today’s reading suggests that prices in the UK have more momentum than in the US or eurozone. Stock market indices continued to recover and the US 500 index eventually rose to a new two-weeks high above 4,000.

While overall still another 25 basis point rate hike is expected, given the current state of the economy and especially the banking sector it remains very much uncertain in which direction the central banking organisation will shift its monetary policy in the coming months. British consumer price inflation hit an annual rate of 9.4% in June compared with 9.1% in May, data showed on Wednesday. U.S. producer prices rose slightly more than expected in November amid a jump in the costs of services, but the trend is moderating, with annual inflation at the factory gate posting its smallest increase in 1-1/2 years.

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Bank of England expects inflation to fall as pound hits 10-month high – Yahoo Finance UK

Bank of England expects inflation to fall as pound hits 10-month high.

Posted: Thu, 13 Apr 2023 07:00:00 GMT [source]

Inflation remained unchanged at above 10% amid indications that consumers continued to spend during the holiday season despite rising cost of living pressures. GameStop shares were trading during the extended session up by around 48% for the day after then company published its quarterly results. The cut of selling and administrative fees as well as job cuts allowed the much-hyped company finally post a profitable quarter, while the company is also seeking to expand in the realms of online sales. While the dollar traded once again clearly weaker against other major currencies, among emerging market currencies the trend was somewhat mixed. Pairs like the USD/ZAR and USD/INR continued moving slightly to the upside, while the USD/MXN pair retreated towards the 18.6-range.


By Peter Nurse – European stock markets edged lower Wednesday, weighed by a sharp increase in U.K. Inflation ahead of the latest Federal Reserve decision on interest rates. The Consumer Price Index measures the change in the prices of goods and services contained in a basket of consumer items. The Central bank pays very close attention to this figure in its role of maintaining price stability.


The Bank of England is due to announce on Thursday whether it has raised interest rates for an 11th meeting in a row. We do not collect personal information for any purpose other than to respond to you . We only share the information you give us with another Government agency if your question relates to that agency, or as otherwise required by law. The Consumer Prices Index including owner occupiers’ housing costs rose by 8.8% in the 12 months to January 2023, down from 9.2% in December 2022. January’s inflation numbers give policy makers room to wait before considering the next move on rates.

The U.K.’s CPI rose 10.1% y/y in March, compared with estimates of a 9.8% y/y rise. This data indicates that inflation is sticky and needs more time and action to cool down to a comfortable level. The easing in the CPI annual rate between February and March 2023 came as a result of prices rising by 0.8 per cent on the month compared with a rise of 1.1 per cent a year earlier, as per ONS. By Ambar Warrick — Gold prices moved little on Friday, but stuck to key levels as a string of weak economic readings brewed concerns over slowing growth and fed into safe…

UK inflation hits new 40-year high as food prices rocket

Economists polled by Reuters had forecast that the annual CPI rate would drop to 10.3% in January, moving further away from October’s 41-year high of 11.1% but still eroding the living standards of households. Petrol prices as well as restaurant, cafe and takeaway prices continue to fall, Fitzner noted. Established in 1998, Litecast Ltd. has since become a leading manufacturer of precast concrete floor beams in the United Kingdom.


Expectations had been for a slowdown in UK inflation, but prices jumped for food and drinks — offset only partially by falling motor fuel costs. “Inflation ticked up in February, mainly driven by rising alcohol prices in pubs and restaurants following discounting in January,” said ONS chief economist Grant Fitzner. Wednesday’s data comes after the UK government last week forecast inflation would slow sharply to 2.9 percent by year-end, with the nation set to avoid recession. The predictions were published alongside finance minister Jeremy Hunt’s massive £94-billion ($114-billion) cost-of-living measures for this year and next.

In silver and platinum markets however only a comparably small downside was observed with both metals trading almost flat on a weekly basis. In the UK the GDP growth data for the second quarter was released showing that the UK GDP fell by 20.4% for the quarter ending June after declining 2.2% in the first quarter. The contraction in the two successive quarters is the technical definition of recession. The fall in the UK’s GDP is more than double that of countries like the US and Germany which recorded around 10% decline in the second quarter. The number also betrays the fact that the UK’s economy is very much dependent on the services sector which is still hurting as it requires more people to people contact vis-à-vis manufacturing. Just as a context, Chinese GDP grew by 3.2% in the second quarter on a YOY basis.

On a monthly basis, CPI fell by 0.6% in January 2023, compared with a fall of 0.1% in January 2022. Today’s downside left Dalal Street investors poorer by Rs 3 lakh crore as the total market capitalisation of all BSE-listed stocks came down to Rs 280 lakh crore. “We have certainly weathered the storm, and the market has digested most of the pain from the recent fiasco. Now since we are trading around the crucial juncture, the market is awaiting some solid trigger to come off the recent slumber phase,” said Sameet Chavan, chief analyst – of technical and derivatives at Angel One.

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The latest figure also represents a decline from the peak of 11.1 per cent in October 2022. The clothing and footwear prices increased by 7.2 per cent over the 12 months ending in March 2023, a decline from the 8.1 per cent increase in February 2023. British consumer price inflation rose more than expected to 5.4% in December, its highest in almost 30 years, official data showed on Wednesday, adding pressure on the Bank of England to raise interest rates again next month. The Bank of England forecast in November that headline CPI would drop to around 5% by the end of 2023 as energy prices stabilised, but policymakers have warned of ongoing upward pressure on inflation from a tight job market and other factors. Financial markets expect the BoE to raise its main interest rate to 4% from 3.5% on Feb. 2, when it will also publish a quarterly update to its growth and inflation forecasts. Despite falling in March, Britain’s inflation rate was the highest in Western Europe and the only country in the region to post a double-digit number for last month.

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