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Message #06846
[Question #675289]: Cheaper food drives UK inflation lower in September
New question #675289 on Graphite:
https://answers.launchpad.net/graphite/+question/675289
The Office for National Statistics said the fall to 2.4%, down from 2.7%, was largely driven by lower prices for food and non-alcoholic drinks.
The Consumer Prices Index figure surprised economists who had been expecting inflation to fall to 2.6%.
The result is expected to ease pressure on the Bank of England to raise interest rates in the near future.
Andrew Wishart, UK economist at Capital Economics, said: "With inflation in line with the Bank of England's forecast, and measures of domestically generated cost pressures, such as core inflation and services inflation falling back, this reduces any pressure on the MPC to act again before it can assess the likely impact of the Brexit negotiations."
However, Samuel Tombs at Pantheon Macroeconomics, said: "Unless services inflation strengthens markedly over the next six months, CPI inflation will undershoot the [Bank of England's] 2% target."
https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027543131-KASAUTI-ZINDAGI-KI-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
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https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027543191-NAZAR-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027648252-MERE-SAI-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027648272-KALEEREIN-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
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https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027648372-PORUS-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027543331-TAARAK-MEHTA-KA-OOLTAH-CHASHMAH-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
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https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027543351-AAP-KE-AA-JANE-SE-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027543371-ISHQ-SUBHAN-ALLAH-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027648452-KUNDALI-BHAGYA-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027648492-KUMKUM-BHAGYA-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027543391-PIYA-ALBELA-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027543411-ZINDAGI-KI-MEHEK-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
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https://logitechsupport.zendesk.com/hc/en-us/community/posts/360027648732-KULFI-KUMAR-BAJEWALA-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
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https://cotopaxi.zendesk.com/hc/en-us/community/posts/360027544571-KRISHNA-CHALI-LONDON-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
https://cotopaxi.zendesk.com/hc/en-us/community/posts/360027649672-KULFI-KUMAR-BAJEWALA-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
https://cotopaxi.zendesk.com/hc/en-us/community/posts/360027544591-MARIAM-KHAN-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
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https://cotopaxi.zendesk.com/hc/en-us/community/posts/360027649972-SHAKTI-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
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https://cotopaxi.zendesk.com/hc/en-us/community/posts/360027544851-YEH-TERI-GALIYAN-17TH-OCTOBER-2018-WRITTEN-EPISODE-TELLYUPDATES
He argued that further falls in food prices and a cap on standard variable tariffs for gas and electricity would keep a lid on inflation.
September's fall in inflation comes a day after figures showed that wages were rising by 3.1% - the fastest pace in nearly a decade - easing pressure on consumer spending power.
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