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USDCAD TECHS

Stronger In a Range

AUDUSD TECHS

Weaker In A Range

US TSYS SUMMARY

Ending The Week On A Soft Note

EURJPY TECHS

Bearish Risk Growing

USDJPY TECHS

Stronger, But Still Vulnerable

US

SP500 PE Ratio vs. CPI Inflation

By Les Commons, Laurie Laird and Shaily Mittal
                                                     
     LONDON (MNI) - April consumer price inflation exceeded the Bank of 
England's 2.0 target for the first time since December, and the recent 
surge in crude oil prices could further elevate inflation in months to 
come. 
     The following are the key points from UK inflation and public 
sector borrowing data published Wednesday by the Office for National 
Statistics. 
     - Consumer price inflation rose to an annual rate of 2.1% in April, 
falling short of the MNI forecast of a 2.2% rise. One-off factors, such 
as rising air fares and the lifting of energy price caps accounted for 
the bulk of the increase. 
     - However, rising crude oil prices could keep inflation above 
target in the months to come.  Input price inflation accelerated to an 
annual rate of 3.8% in April, from 3.2% in March, largely due to oil 
prices. 
     - London house prices retreated by an annual rate of 1.9% in March, 
although the intially-reported plunge in February was revised upward. 
Prices in the capital have not recorded an increase in 13 months, for a 
cumulative decline of 5.2%. 
     - RPI rose by a whopping 1.1% between March and April, the second 
biggest monthly increase since 1994, compared to a 0.6% monthly rise in 
the CPI, highlighting the disparity between the two measures of 
inflation.
     - However, the ONS would not comment on "ongoing discussions" 
regarding the use of RPI, saying only that any announcement on 
de-coupling the RPI from index-linked assets is unlikely to come before 
June.  
     - Public sector borrowing fell by 43.7% in the 2018/19 fiscal year 
to Stg23.5 billion, down from the initially-reported Stg24.7 billion. 
However, the dramatic improvement in the government's finances may be 
slowing, with April borrowing falling only slightly to Stg5.831 billion 
from Stg5.864 billion.