Rising fuel costs push United Kingdom inflation higher

The pickup in prices, which also reflected higher retailer and wholesaler margins, is the latest signal that broader inflation continues to move toward the goal of Federal Reserve policy makers. Sales patterns may have contributed to this, as the proportion of items on sale increased by more between December 2016 and January 2017 than it did a year ago, ONS said.

Prices in wholesale markets rose 5.25 percent last month from a year earlier, their fastest gain since July 2014, government data on Tuesday.

Pulse inflation moderated to 6.21 per cent, from 18.12 per cent in December.

But this might be the end of the cooling cycle for inflation.

"Going ahead, non-food components would tend to be upward moving". Even excluding the more volatile categories of food and energy, prices were still up by nearly as much at 2.3 percent.

The Reuters poll of 26 economists estimated the inflation to be slowed to 3.22% in January, which would be the lowest in the index's five-year history.




Crisil, while commenting on the CPI figures released on Monday, also said that retail inflation could see upside pressures hereon. "In the construction sector, the inflation has been driven by weak British pound affecting the price of imported materials". It was the largest year-over-year gain in 11 years. "The base effect too would have been exhausted by this time".

Overall food prices were flat between December and January after falling 0.6 per cent a year ago, as the sharp drop in grocery costs - triggered by the supermarket price war - ground to a halt.

However, Nossek does not expect inflation to reach much higher than 2 per cent as he believes the oil price lacks momentum - despite production cuts from Opec and non-Opec nations.

Reacting to the rise in the WPI inflation, rating agency CARE said " As expected, the WPI inflation witnessed an increase owing to an increase in fuel and power prices.

An economist from Icra, however said that fuels are unlikely to put extra pressure on retail inflation in the near term.

Segment-wise, price of high-speed diesel rose by 31.10 per cent last month, while that for gasoline or petrol climbed by 15.66 per cent and for LPG by 1.52 per cent.

Related news:

Hot News

India vs Australia Test series: Selectors retain winning squad, Amit Mishra out
Feb 16, 2017 - 01:19
Most recently, in 2010, Australia managed to crumble to a seven-wicket loss despite posting 478 in the first innings. Ashwin also boasts the record for the equal most five-wicket hauls after 45 Tests, having collected 24.

isis-killer-beheading-video-story-top Nintendo manager hints at GameCube virtual console on Switch
Feb 16, 2017 - 01:17
The Nintendo 3DS or the New 3DS would still keep its dedicated consumers not just because it has more games. Check it out below, and prepare to have fun with the Switch when it debuts on March 3 for $299!

Toddler, woman wounded, man killed in Chicago
Feb 16, 2017 - 01:17
The two-year-old boy, identified by U.S. media as Lavontay White , was shot in the head on Tuesday and died later at a hospital. James Johnson, 23, died at Northwestern Memorial Hospital, according to police and the Cook County medical examiner's office.

isis-killer-beheading-video-story-top North Atlantic Treaty Organisation allies must pay more or U.S. will 'moderate its commitment': Mattis
Feb 16, 2017 - 01:16
Flynn quit over allegations he had discussed United States sanctions with Russia's ambassador before taking office. But Trump has made change a priority, saying allies have "been very unfair to us" for not spending more.

Boy, 10, dies in furniture incident at Topshop
Feb 16, 2017 - 01:14
Bunches of flowers were left against the shop's closed shutters yesterday with passers-by pausing to look at the tributes. Topshop's board and staff said they were "deeply saddened" by the "horrific" incident. "Absolutely shocking news.

isis-killer-beheading-video-story-top Janet Yellen: Delaying interest rate hikes "unwise"
Feb 15, 2017 - 01:00
But based on her comments on Tuesday, Yellen and Trump officials are likely to disagree about precisely what to do next. His resignation, effective in early April, will create a third vacancy on the seven-member board for Trump to fill.

Cheese brands recalled due to Listeria concerns
Feb 15, 2017 - 00:59
The company urges consumers to go online and check the UPC code on their cheese to see whether it is affected by the recall. Consumers are advised to go to Sargento's website to determine if products they have purchased are being recalled.

Cigna Sues Anthem For $15 Billion
Feb 15, 2017 - 00:57
Ana Gupte, an analyst with Leerink Partners wrote the deal was viewed "as completely dead at this point" in a note last week. Both companies would have combined to form the second-largest health insurer in the US.

Elon Musk's Vision of the Future Includes Cyborgs
Feb 15, 2017 - 00:57
In Musk's mind, the human mind needs to evolve to be able to access information quickly and tap into artificial intelligence. The agreement was announced at the World Government Summit this week in the United Arab Emirates.

Eurozone Economy Expands Less Than Estimated
Feb 15, 2017 - 00:57
The index for investors' future expectations fell by 6.2 points to 10.4 points last month, Mannheim-based ZEW said in a statement. Still, it marked a sharp rebound after the German economy barely expanded over the summer months.

Mitsubishi names new SUV the Eclipse Cross | New Release
Feb 15, 2017 - 00:56
At the end of January, Mitsubishi released a teaser image of the new crossover it would unveil at the 2017 Geneva Motor Show. Mitsubishi pulled the plug on the plant altogether then shut it down a year ago , according to Automotive News .

NASA will hunt for alien life on Jupiter moon Europa
Feb 15, 2017 - 00:55
Then, they will collect data which will help them in the preparation for an actual landing on the icy moon of Jupiter. The lander would be quite busy during its brief operational life, as its proposed instrument payload indicates.

isis-killer-beheading-video-story-top On softer food prices, CPI contracts to 3.17 per cent in January
Feb 15, 2017 - 00:53
The DIPP also revised upward inflation estimate for November to 3.38% from the earlier provisional estimate of 3.15%. In diesel and petrol, inflation went up by 31.10 per cent and 15.66 per cent, respectively, during the month.

isis-killer-beheading-video-story-top 9th Circuit, Citing Education and Other Factors, Refuses to Reinstate Travel Ban
Feb 14, 2017 - 01:08
Earlier Friday, Trump vowed to do " whatever is necessary to keep our country safe". And there are tremendous threats to our country.

Post-encounter, curfew in parts of tense J&K
Feb 14, 2017 - 00:55
The clashes erupted soon after one civilian was killed in the encounter between security forces and militants. He also claimed that before "achieving martyrdom" they inflicted heavy casualties on security forces.