The Challenges of Rising Inflation and Falling Sterling
U.K. inflation accelerated to the fastest in almost two years in September, according to data from the Office for National Statistics published in London on Tuesday. The inflation rate rose to 1 percent -- the highest since November 2014 -- versus 0.6 percent in August. Bank of England officials have warned that the pound’s decline will push inflation above their 2 percent target. Still, Governor Mark Carney has said he’s comfortable with a modest overshoot as he keeps up efforts to support the economy. Economists surveyed by Bloomberg forecast the BOE will cut its benchmark interest rate to 0.1 percent next month. Formerly of State Street Global Advisors John Nugee and Carmignac Gestion Managing Director Didier Saint-Georges discuss the challenges facing the Fed and other central banks with Francine Lacqua on "Bloomberg Surveillance."