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Pipeline Inflation Edges Higher But Remains.>

UK DATA
UK DATA: Pipeline Inflation Edges Higher But Remains Weak
-UK Dec Input PPI -0.1% y/y vs -1.9% in Nov
-UK Dec Output PPI +0.9% y/y vs +0.5% in Nov
-UK Dec Core Output PPI +0.9% y/y vs +1.1% in Nov
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Pipeline inflation picked up modestly in December, but remained 
weak by historical standards, removing barriers to a near-term rate cut. 
Recent headline figures have been somewhat distorted by volatility in 
crude oil prices in the base period of 2018, but core output PPI still 
fell to its lowest level since June 2016. Pipeline pressures could 
remain muted for the next several months, with the sterling effective 
exchange rate jumping by an annual rate of 5.2%, the biggest rise in 
over four years. 

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