Deutsche Bank strategist Sanjay Raja said the market impact from the Iran conflict appeared smaller than initially expected after the U.K.’s May inflation rate came in below expectations and held at 2.8%. According to Jin10, Raja said this could give the Bank of England more time to consider its next steps and to assess the risk of so-called second-round effects.
Raja added that despite rising energy costs, retailers had remained reluctant to pass higher costs on to consumers through prices. He also said that with a preliminary U.S.-Iran agreement in place, oil prices were about 10% lower than the market had expected last month.
Raja said the Ofgem-regulated price cap could fall rather than rise by October 2026, which he said would provide needed relief for U.K. households and businesses.
Deutsche Bank: UK Inflation Surprise Eases Pressure From Iran Conflict Shock
2026-06-17 10:22:28
Disclaimer:
1. The information provided does not constitute investment advice. Investors should make independent decisions and bear all risks themselves.
2. The copyright of this content belongs to the original author. The views expressed herein are solely those of the author and do not represent the stance or position of this website.
