UK inflation lower than expected, pound under pressure and falling

ChainCatcher news, the pound fell after the latest UK inflation data came in below expectations. The UK inflation rate dropped from 3.0% in January to 2.8% in February, while the core inflation rate decreased from 3.7% to 3.5%.

However, Pepperstone strategist Michael Brown stated that this data seems unlikely to materially change the Bank of England's policy outlook, especially as the central bank reiterated that it will gradually cut interest rates in the future.