Inflation in the UK Cools Faster Than Expected

Inflation in the UK fell faster than expected but still remains in the double-digits, according to the latest data from the Office of National Statistics.

• Y-O-Y: The Consumer Prices Index rose by 10.7% in November when compared to last year, down from 11.1% in October and below economist forecasts of 10.9%.

• M-O-M: Consumer prices were up 0.4% from October, down from October’s 1.4% gain and matching the second-lowest increase for the year.

Markets. The better-than-expected inflation isn’t exactly lighting up equity markets in Europe with London’s FTSE down 22 points, or 0.30%, halfway through the trading day. Elsewhere in Europe, Germany’s DAX is down 0.74%.

• US markets are basically unchanged as traders await the Federal Reserve’s announcement on the next rate hike. With a 50 basis point hike already built into the market Nasdaq futures are down 14 points, or 0.12%, followed by S&P and Down futures down 0.04% and 0.02%, respectively.

• Asia closed out the trading day in positive territory with Japan’s Nikkei having the best day up 201 points, or 0.72%, followed by Hang Seng and Shanghai up 0.39% and 0.01%, respectively.