UK Inflation Slows In October

(RTTNews) - UK consumer price inflation eased in October driven by gas and electricity prices, the Office for National Statistics reported Wednesday.

The consumer price index logged an annual growth of 3.6 percent in October, slower than the 3.8 percent rise in September. However, inflation was slightly faster than economists' forecast of 3.5 percent. On a monthly basis, the CPI moved up 0.4 percent after remaining flat in September. Core inflation that excludes prices of energy, food, alcohol and tobacco, edged down to 3.4 percent from 3.5 percent in September.

The annual increase in goods prices weakened to 2.6 percent from 2.9 percent. Likewise, services inflation softened to 4.5 percent from 4.7 percent.

Another report from the ONS showed that factory gate prices accelerated in October on higher food, motor vehicle and other transport equipment prices. Factory gate prices were up 3.6 percent from the last year, following a 3.5 percent rise in September.

Meanwhile, input price inflation eased to 0.5 percent in October from 0.7 percent in the previous month. Prices were expected to climb again by 0.7 percent.

Monthly output prices showed no movement in October, which was unchanged from September. At the same time, input prices slid 0.3 percent after September's 0.1 percent drop.