UK: CPI to rise further, from 1.8% in January to 2.2% y/y in February - TDS

Analysts at TDS are looking for UK CPI to rise further, from 1.8% in January to 2.2% y/y in February (mkt 2.1%).

Key Quotes

“We look for further upward pressure from food prices, as we’ve seen across much of the rest of Europe, and from fuel prices, which are likely to hit their peak month for contributions in February. Core inflation is the bigger question mark; we look for a rise from 1.6% to 1.8% y/y, but will be watching closely for signs of the extent of exchange rate pass-through.”

“Also out today we have February PSNB data, and March CBI industrial trends.”