| Time | Country | Event | Period | Previous value | Forecast | Actual |
|---|
| 06:00 | United Kingdom | HICP, Y/Y | March | 2.8% | 2.7% | 2.6% |
| 06:00 | United Kingdom | HICP ex EFAT, Y/Y | March | 3.5% | 3.4% | 3.4% |
| 06:00 | United Kingdom | HICP, m/m | March | 0.4% | 0.4% | 0.3% |
| 08:00 | Eurozone | Current account, adjusted, bln | February | 35.4 | 37.3 | 34.3 |
| 09:00 | Eurozone | Harmonized CPI ex EFAT, Y/Y | March | 2.6% | 2.4% | 2.4% |
| 09:00 | Eurozone | Harmonized CPI | March | 0.4% | 0.6% | 0.6% |
| 09:00 | Eurozone | Harmonized CPI, Y/Y | March | 2.3% | 2.2% | 2.2% |
GBP depreciated against most other major currencies in the European session on Wednesday as investors digested the UK’s consumer price index (CPI) data for March.
While the pound rose against the broadly weakened U.S. dollar, it eased off against the rest of its major rivals.
The Office for National Statistics (ONS) reported that the UK March CPI slowed to 2.6% YoY last month from 2.8% YoY in February. This marked the lowest rate since December 2024 (2.5% YoY) and was below economists’ forecasts of 2.7% YoY. Meanwhile, the core measure rose 3.4% YoY in March, marginally down from 3.5% YoY in the previous month, matching economists’ expectations.
Today’s softer-than-expected CPI data eased inflation concerns and cemented the case for a 25-basis-point rate cut at the Bank of England’s May meeting. In addition, markets slightly increased their bets on policy easing by the BoE this year. According to Bloomberg, they now price in the 86 basis points of rate decreases by the end of 2025, up from around 82 the day before.