The inflation data from the UK had been released this morning and it was a bag of mixed data. The consumer price index remains unchanged from the previous month (0.1% m/m; -0.1% y/y), but the core CPI index has increased slightly to 1.1% y/y from 1.0% y/y a month before. The biggest increase this month could be observed in retail price index that rose to 0.0% m/m from -0.1% month ago. The main concern of the BoE appears to be the fact, that the core inflation is showing a rather little sign of improving despite tighter labor market conditions and somewhat improved economic fundamentals. This might still weight on the BoE decision to raise its interest rate this year.
The GBP/USD pair gained small upside momentum after the news release, but it is still trading inside the range. The next resistance level is seen at 1.5264 and next support is found at the level of 1.5153.
The material has been provided by InstaForex Company – www.instaforex.com
Global macro overview for 17/11/2015:
The inflation data from the UK had been released this morning and it was a bag of mixed data. The consumer price index remains unchanged from the previous month (0.1% m/m; -0.1% y/y), but the core CPI index has increased slightly to 1.1% y/y from 1.0% y/y a month before. The biggest increase this month could be observed in retail price index that rose to 0.0% m/m from -0.1% month ago. The main concern of the BoE appears to be the fact, that the core inflation is showing a rather little sign of improving despite tighter labor market conditions and somewhat improved economic fundamentals. This might still weight on the BoE decision to raise its interest rate this year.
The GBP/USD pair gained small upside momentum after the news release, but it is still trading inside the range. The next resistance level is seen at 1.5264 and next support is found at the level of 1.5153.
The material has been provided by InstaForex Company – www.instaforex.com
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