Analyst: Stubborn inflation in the UK rules out an interest rate cut in February.

Andrew Wishart of Berenberg said that higher-than-expected inflation data in the UK makes it highly unlikely that the Bank of England will cut interest rates at its next meeting in February. In December, consumer prices rose by 3.4%, higher than the expected 3.3%, driven by significant increases in airfares, food, alcoholic beverages, and tobacco prices. Wishart said, "A rate cut in February is now off the table." However, he mentioned that airfare prices may decrease in the future, while lower energy costs and a weak labor market will also bring down inflation. He stated, "We believe that by the March meeting, the Bank of England will have enough confidence in the upcoming decrease in inflation to cut rates by 25 basis points."