CPI commentary from Phoebus Software
14 February 2024
Re this morning’s UK CPI data news, here’s a comment from Adam Oldfield at Phoebus Software:
Adam Oldfield, chief revenue officer at Phoebus Software, said: “While it’s a relief that inflation hasn’t risen, 4% is still too high for any consideration of base rate cuts anytime soon. To put it in context, in the U.S. right now they’re getting jumpy over yesterday’s Labor Department’s announcement of a 3.1% rise in CPI.
“Lenders will be watching the rising swap rates like hawks. I think it will be a while before we see a flurry of rate reductions like we’ve just seen in December and January. Consumers are still struggling with the cost of living, not helped by another rise in gas and electricity costs, so movement in the housing market is unlikely to be as buoyant as it could be at this time of year.”
