UK producer prices registering unexpected upward pressure for the month of March
PPI factory input prices rose by 1.9% easing from last month’s 2.1% but coming out stronger than the expected figures.
The same trend was visible for factory output prices; PPI output for the same period was out at 0.6% in line with last month’s reading and stronger than the expected 0.5%.
Equivalent prices for the core PPI levels eased when compared to previous and were marginally lower than expected figures.
Producer prices anticipate CPI figures and thus are expected to offer insight on upcoming inflationary pressures. Persistent inflationary pressures, slowing less than expected, will put a limit on to how much the BoE may engage in further easing (should it need to further assist an ailing recovery) at least for the time being.
RTFX Ltd (“RTFX”) is licensed to conduct investment services business by the Malta Financial Services Authority. This information does not constitute an offer or solicitation and is provided for information purposes only. This information shall not be deemed to constitute advice and should not be relied on as such to enter into a transaction or for any investment decision. Any opinions expressed in this document represent the views of RTFX at the time of preparation. They are thus subject to change without notice. RTFX believes that the information contained herein is accurate as at the date of publication. However, no warranty of accuracy is given by RTFX and no liability in respect of any errors or omissions, including any third party liability, are accepted by RTFX or any director, officer or employee.