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Country Focus

UK CPI Runs Hot, But Disinflation Is Still In Sight

by Felix-Antoine Vezina-Poirier, Chief Strategist  

June UK CPI surprised to the upside, but weakening leading indicators point to disinflation ahead. Stay overweight Gilts. Headline inflation accelerated to 3.6% y/y from 3.4%, and core rose to 3.7% from 3.5%. Services inflation held at 4.7%, also above…

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