The UK's annual inflation rate jumped to 3.1% in August, driven primarily by surging gasoline and diesel prices that rose 23% year-on-year. Energy costs, including electricity and gas, increased 6% annually, reflecting the country's vulnerability to external energy shocks amid crude oil prices above $100 per barrel. The spike marks the first inflation reading above 3% since March and comes as the Bank of England prepares to announce its monetary policy decision.
Japan's trade deficit widened to 1.1 trillion yen in August as energy import costs surged due to high oil prices and the Iran conflict, with petroleum imports from the U.S. jumping over 1,000% year-on-year. Export growth slowed for the first time in six months but still beat expectations at 19.3%, driven by semiconductor equipment shipments to China and the U.S.