UK: Headline CPI likely to print 2.0% in June - TDS

Sandeep Kanihama FXStreet Contributor

Analysts at TD Securities continue to expect the UK inflation to come in roughly in line with the BoE's forecasts from the May IR, with headline CPI of 2.0% y/y in June (mkt also at 2.0%).

Key Quotes

“The fall in crude oil prices into June should weigh on the headline figure, and clothing discounts may have been steeper than normal in June with the poor weather for the first part of the month, though this could be balanced out by a boost in other areas from the steep depreciation of GBP through the spring.”

“We look for core CPI to edge up from 1.7% to 1.8% y/y (mkt: 1.8%), back to where it was in Feb-Apr this year.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

EUR/USD trims gains, back below 1.1800

EUR/USD now loses some upside momentum, returning to the area below the 1.1800 support as the Greenback manages to regain some composure following the SCOTUS-led pullback earlier in the session.

GBP/USD off highs, recedes to the sub-1.3500 area

Following earlier highs north of 1.3500 the figure, GBP/USD now faces some renewed downside pressure, revisiting the 1.3490 zone as the US Dollar manages to regain some upside impulse in the latter part of the NA session on Friday.

Gold climbs to weekly tops, approaches $5,100/oz

Gold keeps the bid tone well in place at the end of the week, now hitting fresh weekly highs and retargeting the key $5,100 mark per troy ounce. The move higher in the yellow metal comes in response to ongoing geopolitical tensions in the Middle East and modest losses in the US Dollar.