Below-Target CPI Places No Barriers To 2020.>

UK DATA: Below-Target CPI Places No Barriers To 2020 Rate Cut

-UK Nov CPI +1.5% y/y unchanged from Oct

-UK Nov Core CPI +1.7% y/y, unchanged from Oct

-UK Nov RPI +2.2% y/y vs +2.1% y/y in Oct

-UK Nov CPIH +1.5% y/y unchanged from Oct

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Consumer prices rose by an annual rate of 1.5%, in line with 

expectations, remaining below the Bank of England's 2.0% target for a 

fourth straight month. While few expect a reduction in rates at this 

week's Monetary Policy Meeting, analysts will monitor support for a cut 

after two members voted to reduce rates at the November meeting. Prices 

of tobacco and alcohol beverages shaved 0.06 percentage points from CPI, 

as a rise in tobacco duties in November of 2018 created a base effect. 

Accommodation services subtracted 0.09pp from CPI, due to a decrease in 

prices of short-notice hotel bookings.