UK Inflation Slows Down; FTSE Rallies Amidst Hopes of Rate Cuts

The UK’s inflation rate has eased to 3.6% in October, marking the first decline since March and signaling a potential turning point for the struggling economy. Analysts attribute this decrease primarily to slower-paced energy price rises, which contributed to easing headline inflation. However, food costs continued to climb, adding pressure on households already facing rising living expenses. This delicate balance of eased inflation and escalating essentials fuels the ongoing cost-of-living debate. Additionally, with prices still above the Bank of England’s 2% target, rate cuts remain a crucial consideration for investors.