The squeeze on consumer spending continued to loosen its grip in June as inflation hit a 31-month low, figures tomorrow are expected to show. The consumer price index (CPI) measure of inflation is forecast to dip to 2.7% in June from 2.8% in May, as fuel and food prices continue to ease. Last month, a sharp drop in commodity and oil prices paved the way for the smallest rise in fuel prices since October 2009, dragging down the headline inflation rate. Inflation has fallen from 5.2% last September due to the waning impact of the VAT hike at the start of 2011, falling energy, food and commodity prices and a number of ... (full story)