UK property market feels the effects
Today's news headlines:
‘UK house prices fall at fastest pace since June 2020’. Due to rising borrowing costs affecting UK household finances, house prices fell 1.4% between October and November this year, according to Nationwide. This is the fastest pace of decline since the 2008 financial crisis, excluding the period of lockdown in early 2020. The UK average house price peaked at £273,751 in August but has since subsided to £263,788. (Financial Times)
‘IMF head warns of “exceptional” uncertainty as zero-Covid hits China’s economy’. The world’s second biggest economy is predicted to grow at its slowest rate in circa three decades as China’s tight zero-Covid policy damages its economy and housing market. The nation has been hammered by lockdowns and travel restrictions for almost three years as the property sector experiences a severe slowdown coupled with inflationary pressures from the war in Ukraine. (Financial Times)
The Eurozone PPI release this morning will likely have a dampened affect on markets since Germany and France, who account for around half of the Eurozone economy, have already released their PPI figures yesterday. The most impactful data of the day will be the US unemployment figures which will give insight into the US labour-market conditions and perhaps a clue as to which way the Federal Reserve will steer at their December meeting.
Eurozone PPI m/m (October): 10:00AM
Canadian Unemployment Rate: 1:30PM
US Unemployment Rate: 1:30PM
US Non-Farm Unemployment Change: 1:30PM
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*Indicative interbank rates taken on the day of writing. Please speak to your Dealer to find out the current rates available for you.