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No surprises from the UK inflation data: headline inflation is flat m/m and up 0.1% y/y. Core inflation rises to 1.2%, which is good news, but also within expectations.

GBP/USD is on the rise, ticking higher to 1.5160, but not going very far.

It seems that the move higher in core inflation is encouraging, but probably not enough to carry the pound higher.

The United Kingdom was expected to report an annual rise of 0.1% in prices in the month of November after a slide of 0.1% in October. Month over month, a slide of 0.1% was predicted. Core inflation carried expectations for a rise of 1.2%, advancing from 1.1% seen beforehand.

GBP/USD was trading steadily around 1.5150 towards the publication.

The Bank of England has recently cast doubts about raising rates anytime soon. They see the flattening of wage growth, even though it currently stands on a healthy 3% y/y. Low  inflation supports their dovish view.

We’ll get employment data tomorrow, as well as the Fed.

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