Investing.com - Consumer price inflation in the U.K. slowed more than expected in May, hitting the lowest level since October 2009, official data showed on Tuesday.
In a report, the U.K. Office for National Statistics said the rate of consumer price inflation rose at a seasonally adjusted 1.5% last month, slowing from 1.8% in April and compared to expectations for a reading of 1.7%.
Month-over-month, consumer price inflation declined 0.1% in May, compared to estimates for a 0.2% increase.
Core CPI, which excludes food, energy, alcohol, and tobacco costs rose at a seasonally adjusted rate of 1.6% last month, down from 2.0% in April. Analysts had expected core prices to slow to 1.7% in May.
The retail price index increased 2.4% in May, down from 2.5% in April.
The data also showed that the house prices index climbed 9.9% in April, above forecasts for a 9.1% gain and accelerating from an 8.0% increase in March.
Following the release of that data, the pound added to losses against the U.S. dollar, with GBP/USD shedding 0.23% to trade at 1.6944, compared to 1.6977 ahead of the data.
Meanwhile, European stock markets remained higher. London’s FTSE 100 inched up 0.15%, the Euro Stoxx 50 advanced 0.4%, France’s CAC 40 rose 0.5%, while Germany's DAX tacked on 0.8%.