The monthly Citi/YouGov survey revealed that UK consumer inflation expectations over the coming 12 months surged from 4.0% in December to 4.8% in January. This is the highest level on record in the history of the series which…
The UK CPI inflation rate rose to a 30-year high of 5.4% y/y in December. Similarly, the retail price index grew 7.5% y/y. Elevated inflation is raising pressure on the BoE to continue to increase rates following the 15 basis point…
Highlights Data from the UK revealed it is tantalizingly close to declaring COVID-19 an endemic virus, indicating Britain likely will exit the pandemic ahead of other states soon. The UK is a bellwether market regarding its public-…
Highlights 2022 Key Views & Allocations: Translating our 2022 global fixed income Key Views into recommended positioning within our model bond portfolio results in the following conclusions to begin the year. Target a moderate…
Highlights Global growth will remain above-trend in 2022, although with more divergence between regions than at any time during the pandemic (US strong, Europe steady, China slowing). Global inflation will transition from being driven…
The UK labor market recovery appears to be withstanding the September expiry of the government’s Job Retention Scheme. The number of payrolled employees increased by 257 thousand in November to 29.4 million. This latest…
Market participants have been rolling back their rate hike expectations for the BoE. The emergence of the omicron variant and economic risks around tighter restrictions have only reinforced this trend. Meanwhile, UK Gilts have…
UK retail sales delivered a positive surprise in October. The headline index advanced 0.8% m/m, marking the first increase in six months and beating expectations of 0.5% m/m increase. Moreover, the GfK Consumer Confidence…
GBP has recently been outperforming. It is the only G10 currency to appreciate vis-à-vis the dollar over the past week which is a reversal of the downward trend from earlier this month. UK Gilt yields have also trended…