Investing.com - Consumer price inflation in the U.K. accelerated more-than-expected in October, official data showed on Tuesday.
In a report, the U.K. Office for National Statistics said the rate of consumer price inflation accelerated to a seasonally adjusted 2.7% in October from 2.2% in September.
Analysts had expected U.K. CPI to rise 2.3% in October.
Month-over-month, consumer price inflation rose 0.1%, below expectations for a 0.2% increase, after rising 0.4% in September.
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 to a seasonally adjusted 2.6% in October from 2.1% in September, above expectations for an increase to 2.2%.
The retail price index rose 3.2% last month, compared to expectations for a 2.9% increase, after rising 2.6% September.
Following the release of that data, the pound held on to gains against the U.S. dollar, with GBP/USD adding 0.12% to trade at 1.5897.
Meanwhile, European stock markets remained broadly lower. London’s FTSE 100 fell 0.65%, the EURO STOXX 50 declined 0.55%, France’s CAC 40 shed 0.7%, while Germany's DAX dipped 0.3%.
In a report, the U.K. Office for National Statistics said the rate of consumer price inflation accelerated to a seasonally adjusted 2.7% in October from 2.2% in September.
Analysts had expected U.K. CPI to rise 2.3% in October.
Month-over-month, consumer price inflation rose 0.1%, below expectations for a 0.2% increase, after rising 0.4% in September.
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 to a seasonally adjusted 2.6% in October from 2.1% in September, above expectations for an increase to 2.2%.
The retail price index rose 3.2% last month, compared to expectations for a 2.9% increase, after rising 2.6% September.
Following the release of that data, the pound held on to gains against the U.S. dollar, with GBP/USD adding 0.12% to trade at 1.5897.
Meanwhile, European stock markets remained broadly lower. London’s FTSE 100 fell 0.65%, the EURO STOXX 50 declined 0.55%, France’s CAC 40 shed 0.7%, while Germany's DAX dipped 0.3%.