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Berenberg: The potential price pressures in the UK have not eased.
Jin10 data March 26th, Berenberg Bank economist Andrew Weishat stated in a report that the latest data from the UK indicates that potential price pressures have not eased. The UK's overall inflation rate in February fell slightly from 3.0% in January to 2.8%, but the service sector inflation rate remained at 5.0%. The decline in the February inflation rate was mainly due to a drop in clothing prices, likely attributed to temporary discounts. In other areas, including food and energy, the inflation rate remained stable. Weishat stated that this could mean the Bank of England "will stop cutting interest rates earlier than most other forecasters expect."