Jump to content
House Price Crash Forum
Realistbear

Unexpected Inflation Data To Be Issued Tomorrow (Tuesday)

Recommended Posts

http://uk.finance.yahoo.com/news/Bank-unlikely-get-respite-reuters_molt-2773620019.html?x=0

Peter Griffiths, 17:06, Monday 11 April 2011
LONDON (
Reuters
) - March inflation data on Tuesday is unlikely to offer the Bank of England respite from nagging questions over its ability to tame soaring consumer prices, and another surprise rise would fuel talk of an imminent rate hike.
The annual consumer price inflation rate is forecast to hold steady at the 28-month high of 4.4 percent hit in February, more than double the central bank's target.

Whatever the number is--it will be unexpected.

I think it will be 4.2% and below expectations.

I don't expect much to be honest as I have grown used to unexpected numbers now as you can always expect them.

Share this post


Link to post
Share on other sites

BoE have already stated that inflation will go to 5% (that was a year after their prediction it would drop to 1.5% mind you). Point is, they've factored the bad news in so they don't have to do anything about it.

Share this post


Link to post
Share on other sites

BoE have already stated that inflation will go to 5% (that was a year after their prediction it would drop to 1.5% mind you). Point is, they've factored the bad news in so they don't have to do anything about it.

Very true actually.

Share this post


Link to post
Share on other sites

it will be unexpected because the BoE makes the most woeful forecasts going*

*except when it involves their own money such as future pensions

fixed that one for you

Edited by Tamara De Lempicka

Share this post


Link to post
Share on other sites

BoE have already stated that inflation will go to 5% (that was a year after their prediction it would drop to 1.5% mind you). Point is, they've factored the bad news in so they don't have to do anything about it.

So inflation will hit 7% then? There predictions are never accurate.

Share this post


Link to post
Share on other sites

Well the March RPI figure is the one that sets student loan rates for the year (does it also cover Pensions and /or others?).

I expect 5.5% followed by some meaty interest rate rises in September and beyond. Another generation indebted.

Even though some of the SLC debts have been sold to private companies, I reckon the higher education reform is going to require everyone involved to "rebuild their capital bases".

Share this post


Link to post
Share on other sites

In any case it is the wrong type of inflation.....This type we prefer to ignore until it goes away and then pretend it didn't happen....We refer to it as "imported"

Later on after the bubble has partially reflated we can create some nice friendly British inflation...then we can fanny around adjusting interest rates up and down to make us seem important again

Share this post


Link to post
Share on other sites

He might have a point. Mind you far better for the UK if they'd tried to make a decent job of targeting inflation including meeting the inflation target.

However unlike the eu's ECB the BoE have completely lost control so maybe they should just let go of the job as well - at least it would save on wages, pensions and (of course) expenses etc.

Edited by billybong

Share this post


Link to post
Share on other sites

From the report:

The most significant downward contribution to the 1-month change in the CPI between February

and March 2011 came from:

food and non-alcoholic beverages: prices, overall, fell by 1.4 per cent, the largest ever fall

for a February to March period. The downward effects were widespread with the most

significant coming from fruit, and bread and cereals. Fruit prices, overall, fell by 4.7 per cent, a

record for a February to March period. Bread and cereal prices, overall, fell by 2.6 per cent,

the largest ever monthly fall

Share this post


Link to post
Share on other sites

For the 12-month change, recreation and culture (which has the second highest group weighting in CPI behind transport) was the second largest contributor to the lower rate after food and non-alcoholic beverages:

recreation and culture: where prices fell this year but rose a year ago. There were downward

pressures from games, toys and hobbies (particularly from computer games), recording

media, and data processing equipment, partially offset by a small upward pressure from

cultural services.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 312 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.