Latest data released by ONS - 16 October 2019

  • Prior +0.4%
  • CPI +1.7% vs +1.8% y/y expected
  • Prior +1.7%
  • Core CPI +1.7% vs +1.7% y/y expected
  • Prior +1.5%

Not much a significant change in inflationary pressures as ONS notes a fall in motor fuel as well as second-hand car prices was offset by rising furniture, household appliance and hotel room prices for the month.

Of note, core inflation is seen ticking up again and that is surely a welcome sign though it hardly matters at this stage. It's all about Brexit now for the pound.

Cable is bouncing around between 1.2720-40 levels currently but it hardly has anything to do with the release here.

Some other details on the day as producer price and retail price figures are released:

  • PPI output -0.1% vs +0.1% m/m expected
  • PPI output +1.2% vs +1.3% y/y expected
  • PPI input -0.8% vs +0.2% m/m expected
  • PPI input -2.8% vs -1.7% y/y expected
  • RPI -0.2% vs 0.0% m/m expected
  • RPI +2.4% vs +2.7% y/y expected
  • August HPI +1.3% vs +0.6% y/y expected
  • Prior +0.7%; revised to +0.8%