Inflation sees shock fall to 2.4%

[BrilloPad]

Good excuse to print lots of money to save us all from clear and present dangers of deflation.

You posted that using the wrong account. You meant to use your sasguru sockie.

[BrilloPad]

Have petrol prices dropped? How much?

Its about £1.30 round our way - it reached just over £1.40.

Those prices are per gallon aren't they?

[AtW]

Good excuse to print lots of money to save us all from clear and present dangers of deflation.

[d000hg]

The largest downward pressures came from motor fuels, food, clothing & footwear.

Have petrol prices dropped? How much?

[Doggy Styles]

It's a pity that the inflation rate for essentials such as food is about 20%.

I'm not sure about that:

The rate of inflation, which indicates how fast prices are rising compared with a year earlier, is slowing due to lower food, fuel and clothing prices.

As indeed it says in the OP.

[DimPrawn]

It's a pity that the inflation rate for essentials such as food is about 20%.

Can you GALs not eat plasma televisions and Playstations?




Yes everything is becoming cheaper except fuel, utilities such as gas, water and electric, food, rail travel, drink, clothes, childcare costs, insurance costs, housing costs. So probably a good time to slash interest rates and print money.

The Bank of England will consider cutting the interest rate after assessing the new lending and liquidity measures of the economy, this according to the minutes released from their July meeting. The minutes also revealed that the vote was 7-2 to increase stimulus by 50 billion Pounds. The minutes attributed the extra stimulus to worry over the Euro debt crisis. Last month the vote to keep the interest rate at 0.5% was unanimous.

[Doggy Styles]

Unemployment also down today.

Are G4S doing the number-crunching?

[Mich the Tester]

Taken from Mortgage Solutions:

UK inflation has dropped to its lowest level since November 2009 after a shock fall to 2.4%.
Consumer Prices Index inflation fell 0.4% between May and June, official statistics showed today, well below analysts' expectations. They had expected CPI to remain
Inflation figures have largely been below consensus forecasts this year, a reversal of the pattern seen in 2011.
Having been as high as 5.2% last September, CPI inflation came in at 2.8% last month, the lowest level since November 2009's 1.9% figure.
Capital Economics now expects UK CPI inflation to stand at around 1% by December 2012, as energy price increases fall out of the index and core inflation drops sharply.
Meanwhile Retail Prices Index (RPI) inflation fell to 2.8%, down from 3.1% in May. The largest downward pressures came from motor fuels, food, clothing & footwear.
The forecaster has suggested that drop could continue into 2013, predicting inflation may fall as low as 0.5%.

Analysts are easily shocked.

[Martin@AS Financial]

Taken from Mortgage Solutions:

UK inflation has dropped to its lowest level since November 2009 after a shock fall to 2.4%.
Consumer Prices Index inflation fell 0.4% between May and June, official statistics showed today, well below analysts' expectations. They had expected CPI to remain
Inflation figures have largely been below consensus forecasts this year, a reversal of the pattern seen in 2011.
Having been as high as 5.2% last September, CPI inflation came in at 2.8% last month, the lowest level since November 2009's 1.9% figure.
Capital Economics now expects UK CPI inflation to stand at around 1% by December 2012, as energy price increases fall out of the index and core inflation drops sharply.
Meanwhile Retail Prices Index (RPI) inflation fell to 2.8%, down from 3.1% in May. The largest downward pressures came from motor fuels, food, clothing & footwear.
The forecaster has suggested that drop could continue into 2013, predicting inflation may fall as low as 0.5%.