Pound holds ground as inflation steady at 2.7%

<p>The pound has held its ground in forex trading as inflation stays at 2.7 per cent for a third month.</p>

The pound is steady in forex trading today (January 15th) on news UK inflation held its ground in December.

According to fresh data from the Office for National Statistics, inflation remained at 2.7 per cent over the course of the 31-day period, with the 3.9 per cent rise in gas and electricity prices being offset by a 0.2 per cent fall in fuel costs.

The Consumer Prices Index (CPI) rate of inflation has stayed higher than the Bank of England's two per cent target since November 2009, while this is this the third month in a row the CPI rate has been at 2.7 per cent.

Additionally, the Retail Prices Index inched higher to 3.1 per cent last month from November's three per cent.

At 10:35 GMT, the pound was steady versus both the euro and the dollar, with £1 buying $1.608 and €1.202.

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