Money Distilled

UK Inflation Looks Set to Hit the 2% Target

But don’t expect a return to ultra-low interest rates.

Andrew Bailey, governor of the Bank of England.

Photographer: Chris Ratcliffe/Bloomberg

Welcome to Money Distilled. I’m John Stepek. Every week day I look at the biggest stories in markets and economics, and explain what it all means for your money.

Tomorrow we get the UK inflation data. It’s very likely to show that the UK annual inflation rate dropped to the Bank of England’s target of 2% in May, from 2.3% in April.