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“Germany Producer Prices Data estimation 20/03/2018”

Analysts at Capital Economics are out with their thoughts on what to expect from today’s UK CPI report due to be published at 0930 GMT.

Key Quotes:

“We suspect that CPI inflation will fall back in February, in what should be the start of a sustained downward trend this year … we have penciled in a fall in CPI inflation from 3.0% to 2.8%

The peak impact of Sterling’s past depreciation should now have passed

Core goods inflation (i.e. excluding food, fuel, alcohol and tobacco) should ease too

We expect core inflation to drop back too, from 2.7% to 2.5%.”

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