Slightly stronger than expected inflation numbers in the UK. The annual level is a positive 0.1% and month over month, prices fell only 0.2% and not 0.3% as had been expected. Also the important RPI and core CPI beat expectations.
GBP/USD jumps around 30 pips to 1.5630. Update: the pair continues north and has already reached a high of 1.5660. It seems that this small pick up in inflation stirs hopes that the BOE will raise rates sooner rather than later. Caution is warranted.
Read the rest of the article UK inflation at +0.1% – GBP jumps