US inflation figures remained flat for October at 1.7 percent, yet economists believe that underlying pressures are beginning to push upwards.<br /><br />Falling fuel prices restrained interest rates last month despite rising accommodation and health care costs.<br /><br /> In addition there were price hikes for airline tickets, new motor cars, tobacco and household furnishings.<br /><br />The US is operating against the backdrop of a slowing global economy, and a strengthening dollar, which is keeping inflation below the US central bank’s target, set at 2 percent.<br /><br />The Eurozone is inflation rate is running at 0.4 percent.<br /><br />However, there is concern over falling market-based inflation expectations, with some economist warning that they should be monitored for signs of “a possible downward shift in longer-term inflation expectations.”
