• UK CPI softens to 10.5% YoY in December vs. 10.6% expected.
• Monthly UK CPI arrives at 0.4% in December vs. 0.4% expected.
• GBP/USD holds gains above 1.2300 on mixed UK CPIs.

The UK annualized Consumer Prices Index (CPI) came in at 10.5% in December against the 10.7% booked in November while missing estimates of a 10.6% print, the UK Office for National Statistics (ONS) reported on Wednesday. The index continues to retreat from its highest level since December 1981.

Meanwhile, the core inflation gauge (excluding volatile food and energy items) rose 6.3% YoY last month versus 6.3% seen in November, missing the forecasts of 6.6%.

The monthly figures showed that the UK consumer prices rose by 0.4% in December vs. 0.4% expectations and 0.4% previous.

more to come ...