August 19, 2022
- Over the past week, a flurry of UK releases revealed surprisingly strong inflation and retail data, although a booming Amazon Prime Day boosted the latter. The underlying picture still suggests the UK economy is getting crushed into decline.
- Next week’s surveys may provide additional guidance regarding the severity of the global shock, including in the UK after the BoE’s forceful rate hike in August. Ofgem’s energy price cap in October is also crucial information.
By Philip Rush
August 12, 2022
- Over the past week, UK GDP confirmed the distorting effect of bank holiday changes as the economy more than unwound May’s rise. Surprisingly low US inflation may have eased some pressure on the BoE to “go big” again in September.
- Next week is the busy one loaded with most of the UK’s top-tier data, where we are in line with the consensus CPI inflation rise in July. Final EA inflation data will also reveal the details behind its surprise strength, albeit with the “Big 4” already printed.
By Philip Rush (back from holiday on Monday)
August 05, 2022
- Over the past week, the Bank of England followed through with a 50bps rate hike, matching the market and economic consensus, but failing to stay true to stated guidance on its reaction function. It will reassess things blowing in the global winds.
- Next week is especially quiet on the data front until Friday’s GDP release, which will reveal the other side of May’s spurious strength amid the bank holiday distortions.
By Philip Rush