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%.
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%.