Unexpected increases in food and fuel prices have pushed UK inflation to 3.6%, with traders firmly betting on the central bank cutting interest rates.

According to the Smart Finance and Economics APP, the inflation rate in the UK unexpectedly rose to its highest level since January 2024 due to the increase in food prices, putting pressure on the Bank of England's continued rate cut plan. The latest data from the UK's Office for National Statistics shows that the Consumer Price Index (CPI) rose from the previous 3.4% to 3.6% in June, exceeding the expectations of economists and the Bank of England. After the data was released, the pound briefly rose 0.2% against the dollar, reaching $1.3412.