Rolling coverage of the latest economic and financial news, as Germany suffers a 0.1% drop in GDP in April-June
The jump in UK inflation to 2.1% last month could spur the Bank of England to raise interest rates, despite Brexit uncertainty.
My colleague Richard Partington explains:
City economists had forecast CPI to fall to 1.9% – instead, it’s now over the Bank’s target of 2%.
The unexpected rise could pile pressure on Threadneedle Street to raise interest rates, even as economic growth falters, in a potential sign the UK could begin to mirror the stagflation of the 1970s – when growth stalled yet inflation continued to rise.
A reminder of how Germany’s economy has stumbled over the last year, including this morning’s disappointing drop in GDP.
Sharp decline in manufacturing production -6% YoY in JuneThe car production has nose dived to 2009 levels pic.twitter.com/J5tTGFYUQm
Read more: theguardian.com