In a week marked by subdued market activity, the final reading of Eurozone HICP inflation confirmed a headline rate of 2.0% for October, while the core rate stood at 2.7%. These figures reaffirmed stability in the Eurozone but had little impact on major currency pairs, which traded within tight ranges.
Across the Atlantic, the United States reported declines in building permits and housing starts for October, both falling short of expectations. Yet, these releases did not stir financial markets, which remained largely unmoved.
UK Inflation Data Surprises Markets
This morning, the UK brought a dose of market activity with a surprise rise in CPI inflation. The headline inflation rate for October climbed to 2.3%, slightly above the forecast of 2.2%. Meanwhile, the core rate saw a sharper increase, reaching 3.3% compared to the anticipated 3.1%.
Service inflation also surged, rising to 5.0% during the month. These figures reflect growing price pressures in the UK economy, prompting a modest uptick in sterling during early trading.
What’s Next for the Markets?
The rest of today’s economic calendar is light on high-profile data releases. However, remarks from central bank officials and key earnings reports in the United States could still move markets. Traders and businesses alike will be keeping a close eye on any developments that could signal shifts in monetary policy or economic sentiment.
How Can You Stay Ahead?
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