Rolling coverage of the latest economic and financial news, as pound dips after February’s inflation report

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Sterling is weakening a little, after UK inflation fell by more than expected this morning.

The pound has lost nearly a third of a cent against the US dollar to $1.2915.

The market reaction to this data has been minimal, as the focus remains on the Spring Statement later today.

The pound has dropped slightly, but GBP/USD is down less than 20 pips so far on Wednesday, the bond markets are not open, but we think that UK Gilts will also have a mild reaction to this data.