The US has published its latest annual inflation figures for the year ending November 2022. Inflation is down to 7.1% pa from 7.7% pa in October.
The prompted steep climbs in stock markets across UK and Europe this afternoon with expected rises across the America’s as pressure on the Federal Reserve to further increase interest rate at faster rates than normal subside.
So far today and at the time of writing (2.45pm GMT):
The reduction in inflation has been put down to slowdown in energy cost, 2nd hand cars and air travel although day to items such as food and property are still on the rise.
This is better news in that the Federal Reserve should be less aggressive with interest rate rises (due tomorrow) and then later this week with the Office for National Statistics due to release UK inflation figures tomorrow and the Bank of England due to make interest rate announcements on Thursday. FTSE is less buoyant than Europe given we have our announcements due tomorrow and Thursday. Whereas Europe’s figures are due Thursday and Friday.