CorrlensCorrlens
Correlate

Correlation Analysis

Consumer Price Indices (CPIs, HICPs), COICOP 1999: Consumer Price Index: Total for United Kingdom vs Interest Rates: Long-Term Government Bond Yields: 10-Year: Main (Including Benchmark) for United Kingdom

GBRCPIALLMINMEI vs IRLTLT01GBM156N

-0.674

Strong inverse

When one moves up, the other tends to move down.

Jan 1, 1960 — Mar 1, 2025Daily783 observationsFREDFRED

AI Analysis

The negative correlation between the UK Consumer Price Index (GBRCPIALLMINMEI) and the long-term interest rate in Ireland (IRLTLT01GBM156N) suggests that as inflation increases in the UK, long-term interest rates in Ireland tend to decrease, and vice versa. This relationship holds significant practical implications for investors, as it indicates that inflation expectations in the UK can influence borrowing costs in Ireland, albeit with a notable time lag of six periods. However, it's important to consider that while the correlation is substantial, it does not imply causation and may be influenced by other economic factors not accounted for in this analysis.

Timing Offset

x leads y by 6 periods

GBRCPIALLMINMEI tends to move before IRLTLT01GBM156N.

-6-5-4-3-2-10+1+2+3+4+5+6

Correlation at each lag offset (periods). Peak marked with dot.

Peak correlation at offset: -0.899 (13 lags scanned)

R-Squared

41.6%

Share of variance in one series explained by the other.

Trend Agreement

48.6%

How often both series moved in the same direction period-to-period.

Overlap Quality

783

Deep shared window — 783 usable pairs.

Significance

p < 0.001

95% CI: [-0.803, -0.402] (approximate)

Time Series

Rebased to 100

Green: GBRCPIALLMINMEIGray: IRLTLT01GBM156N36 of 783 points (sampled)

Scatter

XY Regression

-4.8020406080100120140146.5-0.6805101517.58Consumer Price Indices (CPIs, HICPs), COICOP 1999: Consumer Price Index: Total for United KingdomInterest Rates: Long-Term Government Bond Yields: 10-Year: Main (Including Benchmark) for United KingdomData pointsFit (r = -0.674)

Pipeline

Data quality details

Pipeline Summary

783 paired observations survived the daily window.

Raw input

843

794

Normalized

843

794

Prepared

843

794

Aligned

783

783

Invalid removed

0

A: 0 / B: 0

Duplicates removed

0

A: 0 / B: 0

Alignment drops

71

A: 60 / B: 11

Series A

GBRCPIALLMINMEI

Consumer Price Indices (CPIs, HICPs), COICOP 1999: Consumer Price Index: Total for United Kingdom

FRED · 843 raw → 843 prepared

Series B

IRLTLT01GBM156N

Interest Rates: Long-Term Government Bond Yields: 10-Year: Main (Including Benchmark) for United Kingdom

FRED · 794 raw → 794 prepared

Sign agreement

100.0%

How often both values share the same sign.

Zero crossings

1

Estimated crossover points between normalized spreads.

Slope

-0.0662

Linear regression slope.

Intercept

10.8400

Linear regression intercept.

Saved 13 hours ago · ID: fred-gbrcpiallminmei-vs-fred-irltlt01gbm156n-daily-20260406-w2xmcw