Time | Country | Event | Period | Previous value | Forecast | Actual |
---|
07:00 | United Kingdom | Retail Price Index, m/m | October | 0.4% | 0.8% | 1.1% |
07:00 | United Kingdom | Producer Price Index - Output (MoM) | October | 0.7% | 0.8% | 1.1% |
07:00 | United Kingdom | Producer Price Index - Input (YoY) | October | 11.9% | 12.1% | 13% |
07:00 | United Kingdom | Producer Price Index - Input (MoM) | October | 0.8% | 1.1% | 1.4% |
07:00 | United Kingdom | Producer Price Index - Output (YoY) | October | 7% | 7.3% | 8% |
07:00 | United Kingdom | Retail prices, Y/Y | October | 4.9% | 5.7% | 6% |
07:00 | United Kingdom | HICP ex EFAT, Y/Y | October | 2.9% | | 3.4% |
07:00 | United Kingdom | HICP, m/m | October | 0.3% | 0.8% | 1.1% |
07:00 | United Kingdom | HICP, Y/Y | October | 3.1% | 3.9% | 4.2% |
10:00 | Eurozone | Construction Output, y/y | September | -2.6% | | 1.5% |
10:00 | Eurozone | Harmonized CPI | October | 0.5% | 0.8% | 0.8% |
10:00 | Eurozone | Harmonized CPI ex EFAT, Y/Y | October | 1.9% | 2.1% | 2% |
10:00 | Eurozone | Harmonized CPI, Y/Y | October | 3.4% | 4.1% | 4.1% |
GBP strengthened against other major currencies in the European session on Wednesday, as hotter-than-expected UK’s inflation data for October bolstered bets the Bank of England (BoE) could increase interest rates in December to combat rising price pressures.
The Office for National Statistics (ONS) reported in the morning that Britain’s consumer price index (CPI) climbed 4.2% y/y in October after a 3.1% y/y increase in September. This represented the fastest pace of inflation since December of 2011. Economists had forecast a jump of 3.9% y/y. Meanwhile, core CPI rose 3.4% y/y, the most since October 2011, also topping economists’ forecast of 3.1% y/y. In addition, the UK’s input and output PPIs also exceeded estimates.
Today’s inflation data heightened expectations that the BoE’s policymakers will hike interest rates when they meet on December 16. This move will make the BoE the first of the world's major central banks to increase its borrowing costs since the coronavirus pandemic hit.