CFD Profile | UK consumer price index

Kathleen Brooks
Spread: Five basis points on the nearest contract month, 10 basis points for other contracts.
Min/ Max size of trade: £1/£25 (maximum account position is £25)
Margin Requirement: 5 per cent
Trading Hours: 08:00-16:30 London time
(Information provided by GFT)
After rising to 2.9 per cent in December, the spike higher in UK inflation looks like it will last for at least the next few months. But, the long term outlook for inflation is weaker. Price pressures should, however, be stemmed later this year by a sluggish economic recovery and weak wage growth.

Defensive Picks
Quality stocks with a cyclical bias include:
ABB – electrical equipment maker
HSBC – bank
SHB – Nordic bank
Air Liquide – industrial gases
Novartis – pharmaceutical firm
Diageo – drinks manufacturer
Cheap defensive protection includes:
AstraZeneca – pharma major
BAE Systems – arms maker
BP - energy giant
Centrica – UK gas utility
GSK – pharma major
L’Oreal – cosmetics manufacturer