UK CPI steadies at 0.2% m/m in June, core CPI ticks higher

The UK consumer prices remained stagnant at 0.2% m/m in June from a month before, matching market forecasts of 0.2%, the Office for National Statistics (ONS) revealed on Tuesday.

On annualised basis, the UK inflation figures rose 0.5% in June, against 0.4% expectations and 0.3% previous. While the core inflation gauge also ticked higher to 1.4%, vs +1.3% expectations and +1.2% last.

The UK inflation report released today shows that the Brexit shock has been ignored by markets, easing pressure on the BOE to act sooner i.e. as early as August.