Free Trial

Lloyds See Uptick in UK Inflation Likely a "Blip"

UK
  • Lloyds write that the uptick in December UK inflation was likely a blip, and it should be noted that inflation has moderated faster over Q4’23 than the BoE forecasted and their updated projections in February are likely to show the 2% inflation target being met sooner than they had previously expected.
  • They conclude that unless such outturns become more persistent the volatility seen in December is unlikely to be a cause for concern. Price momentum across the inflation basket is slowing with evidence from our UK Sector Tracker pointing to firms reporting fewer price rises.
  • Nonetheless, with wage growth still elevated and the risk of global geopolitical tensions injecting renewed volatility into commodity markets, the path towards price stability is unlikely to be smooth.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.