Join our community of traders FOR FREE!

  • Learn
  • Improve yourself
  • Get Rewards
Learn More

The GBP/CHF currency pair was mostly flat during early European session on Wednesday, after data showed annual headline inflation in the UK remained stable in August and ahead of the outcome of the Bank of England’s policy meeting.

Annual inflation rate in the UK remained steady at 2.2% in August, data by the Office for National Statistics showed, in line with market consensus.

The biggest upward pressure came from air fares, which rose 11.9% YoY, and cost of recreation and culture, up 4% YoY.

Also, services inflation, which is closely monitored by the Bank of England, picked up to 5.6% in August from 5.2% in July.

The BoE had projected annual inflation rate of 2.4% in August before an acceleration to around 2.75% by year-end.

UK’s annual core CPI inflation, which excludes volatile categories such as food and energy, accelerated to 3.6% in August, the highest rate since April, from 3.3% in July.

The Bank of England is expected to keep its benchmark interest rate without change at 5% at its September policy meeting.

The BoE cut its bank rate by 25 basis points to 5% in August, but said it would move cautiously in easing monetary policy further until the Monetary Policy Council was more certain that inflation would remain subdued.

August’s decision was “finely balanced”, as four MPC members opted to keep borrowing costs on hold.

In the meantime, CHF traders will be also paying attention to Swiss trade data for August due out on Thursday.

As of 7:04 GMT on Wednesday the GBP/CHF currency pair was inching down 0.02% to trade at 1.1142.

TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover Forex, Price Action and Social Trading.

Related News

  • Plaza Retail REIT appoints new Chief Operating OfficerPlaza Retail REIT appoints new Chief Operating Officer Plaza Retail REIT said on Thursday that it had appointed Jason Parravano as its next Chief Operating Officer, effective January 8th 2024.Previously, Parravano served as Chief Financial Officer of the asset management business of the […]
  • US stocks closed at October highest amid debt ceiling negotiationsUS stocks closed at October highest amid debt ceiling negotiations U.S. stocks climbed Friday, with Standard & Poors 500 reaching 20 days highest level, on investors optimism that lawmakers were making progress toward an agreement on raising the debt limit to avoid a default.The Dow Jones Industrial […]
  • Cotton Futures Jump to 3-Month Peak on Weak DollarCotton Futures Jump to 3-Month Peak on Weak Dollar Key Moments ICE May cotton futures advanced 2.06 cents, or 3.1%, to 67.91 cents per lb, the highest level since November 4. The U.S. dollar index declined 0.4% against a currency basket, making dollar-priced cotton more […]
  • LSE: FTSE 100 index steady, US data in focusLSE: FTSE 100 index steady, US data in focus Most European stocks were on the rise on Wednesday, lifted by German shares, and Britains FTSE 100 index swung between gains and losses after a report showed growth in British house prices slowed for a third straight month, albeit marking the […]
  • Commodities trading outlook: crude oil and natural gas futuresCommodities trading outlook: crude oil and natural gas futures Both WTI and Brent futures were steady today, as investors weighed US data with the conflict in Ukraine, where on Monday deadly fighting for the airport in Donetsk erupted. Durable goods orders in the US for April were reported today, to […]
  • VIX Surges to $24.86, Signaling Market JittersVIX Surges to $24.86, Signaling Market Jitters Key momentsVIX reached a near-three-month high, triggering a bearish signal indicating potential stock market weakness. Increased volatility is driving investors towards safe-haven assets like US Treasuries, gold, and certain […]