UK: Upside risk for today’s inflation data - TDS

Sandeep Kanihama FXStreet Contributor

Analysts at TDS see a bit of upside risk compared with consensus for today’s UK inflation data, and think that we could see CPI push up to 2.9% y/y, compared to market consensus of 2.8% and the BoE’s forecast from the Aug IR of 2.7%.

Key Quotes

“The entire uptick is coming from energy prices, while we look for core inflation to hold steady at 2.5% y/y, with recent trends showing a deceleration as we move past the peak impact from exchange rate pass-through. It looks to us like the peak for core inflation trends was back in April.”

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.

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