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The statistics for the Consumer Price Inflation indices (CPI) released today reveal that the Consumer Prices Index (CPI) has turned positive, growing by 0.1% in the year to July 2015, up from 0.0% in the year to June 2015.

Not much room for “unnatural” profit there.

It said in a note: “We believe demand and supply fundamentals remain solid and expect prices to recover further once markets have digested the first Fed move”.

Many analysts had been betting on a rate hike when Fed officials next meet in September given sustained strength in the world’s largest economy.

A smaller fall in clothing prices on the month compared with a year ago was the main contributor to this rise in inflation, according to the ONS, and falling prices for food and non-alcoholic beverages partially offset the rise.

But CPI was held back by the ongoing supermarket price war, with a 2.7% year-on-year fall in the price of food and non-alcoholic beverages. Shops such as Next and Clarks always cut prices in July, but this year the fall was smaller than in 2014.

Core inflation in July, stripping out volatile energy, food and tobacco prices, rose to 1.2% – its highest rate since February.

Members of the Fed will see the release of the Consumer Price Index report for August, due September 16, on the morning of the start of their next monetary policy meeting.

The Consumer Price Index (CPI) measure of inflation was slightly higher than expected in July, edging up from zero in June due to the weaker impact of summer clothing sales compared to previous year. She added that interest rates would have to raised well before inflation hits...

The BoE decided to keep interest rates at 0.5%, with minutes of the Monetary Policy Committee meeting revealing a vote of 8-1 in favour of this decision.

But if there is a larger-than-expected split, it could complicate the message from the Bank’s governor, Mark Carney, who has sounded less urgent about the timing of a rate increase. However, he also emphasised that future rises will be slow, towards half the historical...

At a press conference, he said he stuck to his personal view that the decision about when to start raising rates from 0.5 per cent now was likely to come into sharper relief at the turn of the year.

Inflation is projected to rise from current lows “around the turn of the year“, as past falls in energy prices drop out of the annual comparison, the report said.

The Bank of England (BoE) Thursday voted 8-1 to keep its main interest rate Bank Rate unchanged at 0.5 percent, and kept the quantitative easing (QE) policy at 375 billion pounds.

But Governor Mark Carney has signaled the bank is “moving closer” to a rate increase as economic growth remains among the fastest among advanced economies.