- Prior +4.2%
- Core CPI +4.0% vs +3.7% y/y expected
- Prior +3.4%
The headline reading is the highest since September 2011. This continues to just reaffirm surging price pressures in the UK and that will heap further pressure on the BOE to act. The meeting this week was already on the balance amid omicron risks but surely policymakers can't ignore this report.
Cable spiked by about 20 pips on the figure to 1.3262 but has given that back quite quickly, now at 1.3244.
The BOE has got a fine line to walk on this week and I don't really envy their position.
