Valletta Fund Management
A Member of the BOV Group
21/05/2013 Inflation drops to better-than-expected 2.4%
Consumer Prices Index (“CPI”) inflation dropped to 2.4 per cent during April as transport costs fell. Data from the Office for National Statistics (“ONS”) shows CPI inflation rose by 2.4 per cent last month, down from the 2.8 per cent recorded in March. The Bank of England’s CPI target rate is 2 per cent. Economists had expected CPI inflation to fall to 2.6 per cent over the month. The ONS says “by far” the largest downward contribution on inflation came from transport costs, most notably in motor fuels and airfares. Food and non-alcoholic beverages exerted the only notable upward contribution. The ONS says: “This is the first time the growth in inflation has slowed since autumn 2012. Over the last six months, the CPI 12-month rate has been particularly stable.”
Consumer Prices Index (“CPI”) inflation dropped to 2.4 per cent during April as transport costs fell. Data from the Office for National Statistics (“ONS”) shows CPI inflation rose by 2.4 per cent last month, down from the 2.8 per cent recorded in March. The Bank of England’s CPI target rate is 2 per cent. Economists had expected CPI inflation to fall to 2.6 per cent over the month. The ONS says “by far” the largest downward contribution on inflation came from transport costs, most notably in motor fuels and airfares. Food and non-alcoholic beverages exerted the only notable upward contribution. The ONS says: “This is the first time the growth in inflation has slowed since autumn 2012. Over the last six months, the CPI 12-month rate has been particularly stable.”