UK August CPI rises more than expected

The UK headline consumer price inflation (CPI) surpassed expectations and rose at an annual rate of 2.90% for August, the Office for National Statistics (ONS) reported on Tuesday. On monthly basis, the inflation jumped 0.6% as compared to a slight deceleration of 0.1% in July. 

Meanwhile, the retail price index matched consensus and came in at 3.9% for the reported month, higher than previous month's reading of 3.6% and 3.7% estimated. 

The higher than expected CPI figure suggest a UK interest rate rise was imminent, sooner rather than later, which helped send the British Pound higher across the board.