Image: US Department of Defence Image: US Department of Defence

Inflation in the United States barely grew at 0.1% in March, according to the latest figures from the Labor Department.

The news means that the Federal Reserve is almost certain to not raise interest rates in April.

Core inflation - a measure often preferred by central bankers - reversed recent rises with a 0.1 percentage fall from February at 2.2%. February's headline inflation rate of 0.3% and core rate of 2.3% had sparked rumours that the Fed would be forced to increase interest rates faster than financial markets expected.

But March's figures will have gone a long way to alleviating those fears, many economist believe. The Fed raised interest rates in December for the first time in almost 10 years as it grew more confident in the US economy.

Economics blogger Michael Baxter believes the lower inflation figures in the US are good news for the UK. He explained: "There are big implications for the UK if the Fed increases rates. Money may flow from the UK to the US, putting sterling under pressure, possibly forcing the Bank of England to increase rates. This may be a particular danger in the event of a Brexit vote. These better than expected figures on US core inflation reduces the chances of this [Fed raising rates] occurring."