UK CPI steadies at 2.0% y/y in June, meets estimates (GBP unmoved)

Dhwani Mehta FXStreet

The UK Consumer Prices Index (CPI) 12-month rate came in at 2.0% in June, when compared to 2.0% booked in May while coming in line with expectations of a 2.0% print, the UK Office for National Statistics (ONS) reported on Wednesday.

Meanwhile, the core inflation gauge (excluding volatile food and energy items) arrived at 1.8% y/y versus 1.7% booked in May while matching the consensus forecast of 1.8%.

The monthly figures showed that the UK consumer prices arrived at 0.0% in June, meeting 0.0% expectations and 0.3% last.

Main Points (via ONS):

“The largest downward contributions to change in the 12-month rate between May and June 2019 came from motor fuels, accommodation services and electricity, gas and other fuels, with prices in each category falling between May and June 2019 compared with price rises between the same two months a year ago.

The largest offsetting upward contributions to change came from clothing and food.”

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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