UK headline inflation fell to 3.9% on an annualized basis, the . The figure surprised market analysts who had expected inflation to come in at 4.4%. The UK’s chancellor, Jeremy Hunt, said that the implementation of the government’s economic measures was “starting to remove inflationary pressures from the economy.”The UK pound fell by 0.6% against the US dollar on Wednesday morning as lower-than-anticipated inflation readings could force the Bank of England (BoE) to relax its monetary policy sooner than expected. However, economists speaking to The Guardian reporters noted that core inflation came in at 5.1%, remaining above the BoE’s 2% target.In other news, the People’s Bank of China (PBoC) as it was expected. In New Zealand, the Reserve Bank of New Zealand (RBNZ) Governor said that the governing board remains wary of inflationary pressures, adding that the next monetary policy decision would have to be based on a wide range of economic data, making it a complex task.
US GDP Q3 2023 The US Bureau of Economic Analysis (BEA) will publish data regarding the country’s GDP for the third quarter of the year. Economists expect the report to show that the US economy expanded by 5.2% on an annualized basis, matching the previous quarter’s figure, and by 2.3% on a quarterly basis.The Congressional Budget Office (CBO) projects U.S. economic growth to slow to 1.5% in 2024, with the country’s unemployment rate seen rising to 4.4% next year. The same survey suggests that the GDP growth for 2023 would reach 2.5%, significantly larger than the 0.9% figure forecast in July.
UK GDP Q3 2023On Friday, economists will have the opportunity to scrutinize the Office for National Statistics (ONS) report regarding the UK’s GDP growth in the third quarter of 2023. Analysts suggest that the country’s economy expanded by 0.6% on an annualized basis but remained flat on a quarterly basis.According to an ONS report published a week ago,, surprising economists. Some analysts suggested that the economic growth rate could hover around 0% in the fourth quarter of this year. The BoE has warned that the UK could fall into recession in 2024.
UK Retail Sales November 2023The ONS is expected to publish the UK’s retail sales data for the month of November on Friday. Economists forecast that retail sales increased by 0.4% on a monthly basis while they retreated by 1.3% on an annualized basis, regaining some ground after October’s plunge. The UK economy seems to be feeling the impact of the BoE’s strict monetary policy that tries to tame inflationary pressures.According to the latest report by the KPMG/RetailNext Retail Think Tank (RTT), for the retail sector. KPMG market experts said that “despite Black Friday sales going deeper and lasting longer than last year, indicators so far are that Christmas trading this year has been one of the worst since the pandemic hit, and although there is still all to play for in the final weeks of December, it is looking as if it’s too late turn fortunes around.”More By This Author:Bank Of Japan Keeps Interest Rates And Yield Curve Policy On Hold Understanding Interest Rates And The Financial Markets The Fed, BoE And ECB Expected To Hold Rates
UK Inflation Falls To 3.9%, Hits 28-Month Low
