UK's CPI inflation likely to rebound to 0.0%

UK's CPI inflation data is likely to be released on 16^th June. The CPI inflation is expected to move up to 0.0% in May, which was slipped into negative territory in April with a -0.1%y/y growth, estimates Standard Chartered. The lower oil prices caused price of non-energy goods to reduce, which in turn, slower the core CPI inflation, which posts 0.8%y/y growth. The core CPI inflation is expected to accelerate at 0.9%y/y, says Standard Chartered.

Trade-weighted sterling is up 7.5% y/y, which will likely to lower the inflation rate in future, added Standard Chartered.