Realistbear Posted April 11, 2011 Share Posted April 11, 2011 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. Quote Link to comment Share on other sites More sharing options...
papag Posted April 11, 2011 Share Posted April 11, 2011 At least the unexpected number will only be temporary Quote Link to comment Share on other sites More sharing options...
catmandu Posted April 11, 2011 Share Posted April 11, 2011 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. Quote Link to comment Share on other sites More sharing options...
acidreign Posted April 11, 2011 Share Posted April 11, 2011 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. Quote Link to comment Share on other sites More sharing options...
needsleep Posted April 11, 2011 Share Posted April 11, 2011 it will be unexpected because the BoE makes the most woeful forecasts going Quote Link to comment Share on other sites More sharing options...
Georgia O'Keeffe Posted April 11, 2011 Share Posted April 11, 2011 (edited) 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 April 11, 2011 by Tamara De Lempicka Quote Link to comment Share on other sites More sharing options...
Pent Up Posted April 11, 2011 Share Posted April 11, 2011 Going by PPI figures it looks like another jump. Quote Link to comment Share on other sites More sharing options...
Little Professor Posted April 11, 2011 Share Posted April 11, 2011 An unexpected 4.8% Quote Link to comment Share on other sites More sharing options...
LittleSteroid Posted April 11, 2011 Share Posted April 11, 2011 Going by PPI figures it looks like another jump. Exactly. Could be close to 5 but it depends what's in the basket this time . We'll see tomorrow. Quote Link to comment Share on other sites More sharing options...
Flatdog Posted April 11, 2011 Share Posted April 11, 2011 It will, at least, be unexpected Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted April 11, 2011 Share Posted April 11, 2011 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. Quote Link to comment Share on other sites More sharing options...
The Generation Game Posted April 11, 2011 Share Posted April 11, 2011 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". Quote Link to comment Share on other sites More sharing options...
arthurwasright Posted April 11, 2011 Share Posted April 11, 2011 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 Quote Link to comment Share on other sites More sharing options...
needsleep Posted April 11, 2011 Share Posted April 11, 2011 This will be good for the house prices innit. Quote Link to comment Share on other sites More sharing options...
billybong Posted April 11, 2011 Share Posted April 11, 2011 (edited) http://www.independent.co.uk/news/business/comment/stephen-king/stephen-king-inflation-targeting-simply-has-not-worked-and-now-is-the-time-to-let-go-2266196.html Stephen King: Inflation targeting simply has not worked and now is the time to let go. 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 April 11, 2011 by billybong Quote Link to comment Share on other sites More sharing options...
Realistbear Posted April 12, 2011 Author Share Posted April 12, 2011 What time is the data due to be announced? Unexpectetly early perhaps?--Don't get yer expectations up. Quote Link to comment Share on other sites More sharing options...
rantnrave Posted April 12, 2011 Share Posted April 12, 2011 (edited) It's down! 4.0% and 5.3% Edited April 12, 2011 by rantnrave Quote Link to comment Share on other sites More sharing options...
Pent Up Posted April 12, 2011 Share Posted April 12, 2011 Now that WAS unexpected. Quote Link to comment Share on other sites More sharing options...
needsleep Posted April 12, 2011 Share Posted April 12, 2011 Deflation Quote Link to comment Share on other sites More sharing options...
The Masked Tulip Posted April 12, 2011 Share Posted April 12, 2011 Apparently food costs have dropped - don't believe it for a second. Quote Link to comment Share on other sites More sharing options...
FreeTrader Posted April 12, 2011 Share Posted April 12, 2011 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 Quote Link to comment Share on other sites More sharing options...
Pent Up Posted April 12, 2011 Share Posted April 12, 2011 Apparently food costs have dropped - don't believe it for a second. Don't you mean risen less fast? Quote Link to comment Share on other sites More sharing options...
rantnrave Posted April 12, 2011 Share Posted April 12, 2011 Does this make an IR hike less likely? Quote Link to comment Share on other sites More sharing options...
FreeTrader Posted April 12, 2011 Share Posted April 12, 2011 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. Quote Link to comment Share on other sites More sharing options...
The Masked Tulip Posted April 12, 2011 Share Posted April 12, 2011 Don't you mean risen less fast? Nah, it was what Fivelive said. BBC spin. Quote Link to comment Share on other sites More sharing options...
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