UK CPI disappoints

  • All - G20 Meetings
  • AUD - Monetary Policy Meeting Minutes
  • EUR - Trade Balance

There was a quiet start to the week with no high tier data on the economic docket. The G20 Forum began, with members of Government and central bank governors from the 20 countries meeting to discuss cryptocurrency and trade tariffs.

  • GBP - CPI y/y
  • All - G20 Meetings
  • GBP - HPI y/y

UK CPI disappointed markets today, by missing expectations to post 2.7%, down from 3% in the previous reading. The slowdown was caused by the slight fall in petrol prices and a slower growth of food prices, in comparison to last year. The slowdown in inflation will reduce the pressure on the Bank of England to raise interest rates quicker than originally planned.

In the Eurozone, the German ZEW Economic Sentiment is set to be released. The reading is expected to drop from 17.8 to 13, as it is expected the stronger Euro and the possible threat of the new US tariff are beginning to take their toll on the confidence of the economic outlook. The ZEW Economic Sentiment, which looks at the Eurozone as a whole, is also expected to drop slightly from 29.3 to 28.1.