LONDON Oct 18 A key market measure of long-term
inflation expectations in the euro zone rose on Tuesday to its
highest level since early June, on the back of signs of a
pick-up in inflation globally.
Data on Tuesday showed U.S. consumer prices recorded their
biggest gain in five months in September as the cost of gasoline
and rents surged, pointing to a steady build-up of inflation
that could keep the Federal Reserve on track to raise interest
rates in December.
Separate data showed British inflation recorded its biggest
jump in two years last month.
Against this backdrop, the five-year, five-year breakeven
forward, a market measure of the euro zone's long-term inflation
expectations tracked by the European Central Bank, rose above
1.43 percent, its highest level since June 8.
(Reporting by Dhara Ranasinghe, editing by Nigel Stephenson)