UK inflation data now out
- +0.1% prev
- yy +0.1% vs +0.1% exp vs -0.1% prev
- Core CPI yy +1.2% +1.2% exp vs +1.1% prev
- RPI mm +0.1% vs 0.0% exp/prev
- yy +1.1% vs +0.9% vs +0.7% prev
- index 259.8 vs 259.6 exp vs 259.5 prev
No nasty shocks sees the pound make a few short lived gains as weaker PPI threatens to keep prices low for a while
BOE will not be taking any great comfort from the reading
Says the ONS:
While the headline rate of inflation remains negligible, each household's personal rate of inflation will depend on the products they buy. For example, prices for food and motor fuels continue to fall on the year, whereas rents and restaurant and hotel bills are rising.
The main upward push on inflation between October and November 2015 (causing it to increase slightly from a 0.1% fall to a 0.1% rise) came from price movements for transport costs, and alcohol and tobacco. Prices fell between October and November in both of these categories but they fell by less than between the same 2 months a year ago. For example, petrol prices fell by 1.5 pence per litre this year compared with a 3.0 pence per litre fall a year ago.
These upward pressures were partially offset by price falls for clothing and footwear, influenced by an increase in the number of items on sale. This is the first time that prices for these goods have fallen between October and November since the official CPI began in 1996 and the fall follows the largest September to October price increase on record. The latest data continues the trend seen since the summer of atypical price movements in this sector.
Full release and notes from the ONS here