- U.K. CPI was flat on month in September, down from +0.4% in August and below forecasts of +0.2%.
- On year, inflation dropped to a five-year low of 1.2% from 1.5% and missed consensus of +1.4%.
- Core inflation +1.5% on year vs +1.9% previously and predictions of +1.8%.
- "Falls in transport costs (notably sea fares and air fares) and prices for a range of recreational goods provided the largest contributions to the slowdown in the rate of inflation between August and September," the U.K.'s Office for National Statistics says. (PR)
- Factory output prices (PPI) stayed at -0.1% on month, as expected. (PR)
- "Inflation falls much faster than expected...kiss goodbye to a U.K. rate hike any time soon," tweets Reuters' James McGeever.
- The pound adds to its losses and is -0.7% at $1.5974, while the FTSE 100 is -0.5%.
- Earlier: U.K. retail sales tumble
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