FTSE 100 up 0.3, FTSE 250 up 0.1
UK inflation hits 8month high, underlying pressures steady
Fed decision due at 1900 GMT
Kingfisher gains on sale of Romania business

Dec 18 Reuters Energy companies boosted UK39;s main stock index on Wednesday, with investors parsing key inflation data for clues on the future course of domestic policy and keenly awaiting the U.S. Federal Reserve39;s interestrate decision later in the day.

The FTSE 100 index was up 0.3 as of 0900 GMT, but still hovering around the near onemonth low hit on Tuesday. The domestically focussed FTSE midcap 250 edged up 0.1.

Energy was among the top sectoral gainers, up 0.7, likely boosted by higher crude oil prices. Meanwhile telecom stocks were the worst hit with a 1.2 decline.

Just a day ahead of the Bank of England39;s rate decision, data showed British inflation rose to an eightmonth high in November. But offering some relief was an underlying measure of price growth holding steady, weighing on the sterling and in turn, also boosting stocks.

Coming on the back of the strongerthanexpected rebound in wage growth in yesterday39;s release, there is almost no chance of the BoE delivering an early Christmas present with another interestrate cut tomorrow, said Paul Dales, chief UK economist at Capital Economics.

Traders expect the BoE to cut rates by around 58 basis points in 2025, versus the 53 bps seen prior to the data, LSEG data showed.

This week39;s main event is the Fed39;s policy outcome later…