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Currency Market News

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UK inflation faills to 2 year low
19 June 2012

The Pound is under pressure this morning as official figures showed inflation at its lowest level for over 2 years, increasing the probability of further QE from the Bank of England.


Slower price rises for fuel and food pushed cosumer inflation down to 2.8% on the year.


The figures may soften the reluctance of some BoE policy makers to extend QE which came to a halt in May - which would not be good news for the Pound or exchange rates for those of you making international payments.


The minutes of the May meeting of the Bank of England committee are out tomorrow, at the same time as UK unemployment figures.


 

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