0720 GMT - The Bank of England will breathe a sigh of relief following the release of April inflation data, Sanjay Raja at Deutsche Bank says in a note. Headline and core inflation fell more than expected in the month. The steep decline in services prices is likely to stick for the next year, Raja says. "Combined with the weaker trend in private wage growth--as seen yesterday--the Bank of England should have some confidence that domestic price pressures are still on a downward path," he says. Still, external prices pressures are expected to push up inflation ahead, with oil and commodity prices likely to rise further. "Core goods prices will also--at some stage--be less insulated from ongoing price rises," he says. (don.forbes@wsj.com)
(END) Dow Jones Newswires
May 20, 2026 03:20 ET (07:20 GMT)
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