While retail inflation growth for January slowed to 5.07% from the 17-month high of 5.21% reported in December 2017, the Index of Industrial Production (IIP) grew 7.1% in December 2017.
The Labor Department said its Consumer Price Index increased 0.5 percent last month.
That again stoked fears that interest rates will increase faster than expected, sending benchmark U.S bond yields to session highs and further quelling investors' interest in the stock market. The rate was expected to fall moderately to 3 percent.
Government data released on Monday also showed that retail inflation softened marginally at 5.07 per cent in January.
Annual inflation in the United Kingdom was at 3.1 percent in November and 3 percent in December a year ago.
So they expect a soft core CPI print, seeing the year-on-year rate edge down to 1.7% from 1.8% thanks in part to a high base effect created by a strong core CPI reading in January 2017.
Samuel Tombs, chief United Kingdom economist at Pantheon Macroeconomics, said that data was likely to show inflationary pressures easing: "CPI inflation still looks set to fall sharply this year, as the anniversaries of sharp sterling-related rises in core goods, food and energy prices are met". Petrol inflation from hovering at around 4.6% last December is down to 2% last month.
But signs of a pick-up in wages suggested that price growth might be slower to fall than the Bank of England hoped. The RBI on Wednesday kept the interest rates unchanged. RBI warned that in the upcoming months there would be rise in inflation.
In a note, the firm said inflation's rise predominantly reflects the drop in the exchange rate and as the impact of sterling's slide continues to fade, inflation will ease this year, ending 2018 at about 2.25%.
Clothing prices helped to prop up the inflation figure despite having fallen 3.7% month on month, which marked a weaker drop compared to the 4.3% fall during the same period a year earlier.
The index of "cereals and products" saw a minor rise to 135.9, "Vegetables" fell from 161.7 in December to 151.6 in January, and that of "Food and Beverages" segment declined from 140.5 to 139.2.
Both measures show that inflation is mostly contained, but the increase in core prices will likely make investors nervous.
According to the bureau, this is 0.24 per cent points lower than the rate recorded in December (15.37 per cent).