Largest jump in UK inflation since records began

Largest jump in UK inflation since records began

Data from the Office for National Statistics this morning showed that UK annual inflation rose to 3.2% in August, up from 2% in July and well above expectations. The 1.2% jump in CPI was the largest since records began in 1997. UK stocks are flat this morning, one hour into the trading day.

In contrast, CPI data in the US came in below estimates at 0.3% in August indicating that inflation pressure may be easing. Investors will be considering how this might play into the Federal Reserve’s next move.

Also in the mix is China’s latest retail sales data which shows growth at a much lower pace than expected in August fueling concerns of slowing global growth.

 

Disclaimer: ‘Where the business has expressed opinions, they are based on current market conditions, they may differ from those of other investment professionals and are subject to change without notice. The information contained within this communication is believed to be reliable but Realm Investment Management Limited does not warrant its completeness or accuracy. This communication is not intended as a recommendation to invest in any particular asset class, security or strategy. Regulatory requirements that require impartiality of investment/investment strategy recommendations are therefore not applicable nor are any prohibitions to trade before publication. The information provided is for illustrative purposes only, it should not be relied upon as recommendations to buy or sell investments.’

Download Our Free Brochure