Investing.com UK - Financial Markets Worldwide
✂ Fed’s first rate cut since 2020: Use our free Stock Screener to find new opportunities fastExplore for FREE

U.K. inflation rises 0.1% in May, in line with expectations

Published 16/06/2015, 09:34
© Reuters. U.K. CPI rises 0.1% in May
GBP/USD
-
EUR/GBP
-
UK100
-
FCHI
-
DE40
-
STOXX50
-

Investing.com - Consumer price inflation in the U.K. rose broadly in line with expectations in May, one month after falling into negative territory for the first time since records began, official data showed on Tuesday.

In a report, the U.K. Office for National Statistics said the rate of consumer price inflation rose to a seasonally adjusted 0.1% last month, from -0.1% in April. Analyst had expected a reading of 0.1%.

Month-over-month, consumer price inflation increased 0.2% in May, meeting estimates and after following a 0.2% increase in April.

Bank of England Governor Mark Carney will now have to write an open letter to the Chancellor of the Exchequer, George Osborne, as inflation is more than a percentage point below the central bank's target of 2.0%.

Core CPI, which excludes food, energy, alcohol, and tobacco costs rose at a seasonally adjusted rate of 0.9% last month, up from 0.8% in April but below forecasts for a reading of 1.0%.

The retail price index increased 1.0% in May, missing expectations for a gain of 1.1% and up from 0.9% in April.

The data also showed that the house prices index rose 5.5% in April, below forecasts for a gain of 10.2% and down from 9.6% in March.

GBP/USD was trading at 1.5579 from around 1.5609 ahead of the release of the data, while EUR/GBP was at 0.7236 from 0.7234 earlier.

Meanwhile, European stock markets held on to losses. London’s FTSE 100 shed 0.6%, the EURO STOXX 50 declined 0.9%, France's CAC 40 slumped 0.8%, while Germany's DAX dropped 1.2%.

Latest comments

Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.