Bank of England's Dhingra: 'Promising signs' for drop in UK inflation - reports

Dismissed fears of wage-price spiral

Elliot Gulliver-Needham
clock • 1 min read

There are “promising signs” that UK CPI will return to lower levels despite the measure failing to come down significantly in recent months, argued Swati Dhingra, member of the Bank of England’s Monetary Policy Committee.

In a speech at the Royal Economic Society, Dhingra noted that producer price inflation had fallen to just 2.9% in May, down from a peak of 19.6% in July 2022. Producer price inflation is a strong influencer of future inflation, as the price it takes to produce goods is then funnelled through to consumers. Amundi CIO: Western markets set for 'slow-motion pain' "There are some promising signals that CPI inflation should ease, and that is mostly coming from... one of the best leading indicators...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

Trustpilot