Inflation in the UK Exceeded Expectations

Inflation in the UK exceeded expectations. Inflation in the country recorded the highest level of the last 3 years and reached above the expectations. Here are the details..

Inflation in the UK rose 2.5 percent annually in June, the fastest increase since 2018. Second-hand cars, fuel and food were the products most effective in increasing inflation. The median expectation of economists surveyed by Bloomberg was that inflation would increase by 2.2 percent on an annual basis. As a result of the increase in inflation in the country, the expectations that the Bank of England (BoE) will start to increase the interest rates next year gained strength, while the expectation of the bank was that the inflation would decrease to 0.2 percent in August. Bloomberg economists also stated that the model they created indicates that the Bank of England may start raising interest rates sooner than expected. In the USA, the inflation rate was 5.4 percent year-on-year in June, also above the expectations, while it was 0.9 percent on a monthly basis. Inflation in the USA was last calculated as 5.4 percent in August 2008.     To Read More: Inflation In The US Once Again Exceeds 5 Percent