Shutterstock photo
Markets

U.K. CPI slows to 2.7% in August, in line with forecasts

Shutterstock photo

Shutterstock photo

Investing.com - Consumer price inflation in the U.K. slowed in line with market expectations in August, official data showed on Tuesday.

In a report, the U.K. Office for National Statistics said the rate of consumer price accelerated at a seasonally adjusted 2.7% in August, in line with estimates and down from 2.8% in July.

Month-over-month, consumer price inflation rose by 0.4% in August, compared to expectations for a 0.5% increase.

The rate of inflation remains above the Bank of England's 2.0% target, but the Bank of England will not be obliged to write to the Chancellor of the Exchequer, as the inflation rate is less than a percentage point above or below its target.

Core CPI, which excludes food, energy, alcohol, and tobacco costs rose by a seasonally adjusted 2% last month, unchanged from July and below expectations for a 2.1% increase.

The retail price index rose 3.3% in August, below forecasts for a 3.4% increase, after rising 3.1% July.

Following the release of that data, the pound held on to small gains against the U.S. dollar, with GBP/USD easing up 0.09% to trade at 1.5913.

Meanwhile, European stock markets remained lower. London's FTSE 100 shed 0.4%, the EURO STOXX 50 fell 0.45%, France's CAC 40 inched down 0.45%, while Germany's DAX dipped 0.25%.

Investing.com - Investing.com offers an extensive set of professional tools for the financial markets.

Read more News on Investing.com or Follow us on Twitter at @ InvestingCom

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

ForEx