It’s time we ended the pretence that planning rules come without a price September 6, 2013 MOST agree that the UK housing market has long been stuck in an affordability crisis. Despite a fall in prices since 2007, Nationwide recently calculated that the typical house now costs 5.1 times average earnings, up from 3.9 a quarter of a century ago. In London, the ratio has risen from 5.7 to 7.7. And [...]
Great US data sends UK borrowing costs over three per cent for first time since July 2011 September 5, 2013 Some great data from the US. UK 10 year yields have risen above three per cent for the first time since July 2011. (Tradeweb) You can see they've been creeping up throughout the day, with a final jump with the US data release. That means effective government borrowing costs have shot up. UK 10yr yields [...]
Draghi still dovish say analysts September 5, 2013 Some analyst feedback to European Central Bank president Mario Draghi's presser: Christian Schulz, senior economist, Berenberg: ECB President Draghi noted some further progress in the defragmentation of the Eurozone financial system. For example, interest rates on loans to companies of up to €1m, a proxy for SME financing conditions, have dropped a little further in [...]
ECB bumps up this year’s growth forecast but slashes 2014 expectations September 5, 2013 The European Central Bank (ECB) has adjusted its predictions from June, revising up its 2013 GDP forecast from -0.6 per cent to -0.4 per cent. A cut to next year's estimate though, reduced by 0.1 percentage point from 1.1 per cent to 1.0 per cent. ECB president Mario Draghi has said that risks to the [...]
The US jobless claims four week average has fallen to its lowest level since October 2007 September 5, 2013 US intial jobless claims have dropped from 332,000 (revised from 331,000) to 323,000. Well below expectations of a fall to 330,000. That's put the four week average down to its lowest level since October 2007.
European Central Bank holds all rates September 5, 2013 The European Central Bank (ECB) has elected to hold all rates. That's not unexpected. We'll bring you the news from ECB president Mario Draghi's presser later, at 13:30.
Forward guidance sees Carney anchor rates despite recovery September 5, 2013 The Bank of England has announced that rates have been held despite an improving economic picture. Rates have been maintained at their historic lows of 0.5 per cent despite new data showing that the UK's services industry grew at the fastest rate since 2006 last month. That is the latest in a string of datapoints [...]
Lloyds sale could be delayed by Syrian crisis and threat of Fed tapering September 5, 2013 The sale of the government's 39 per cent stake in Lloyds may be delayed by Syrian turmoil and potential tapering by the US Federal Reserve, as the reprivatisation remains conditional on market performance. Any intervention in Syria is likely to act as a shock to aggregate supply, with consequences for oil prices, and foreign policy [...]
German factory order growth drops way faster than expected September 5, 2013 Germany factory orders have dropped by 2.6 per cent July, from five per cent growth last month (revised from 3.8 per cent). Analysts had forecast a one per cent fall in orders this month. While the upwards revisions to the last are a positive, that makes for a much bigger drop than expected. Domestic orders [...]
Car registrations up for 18th month ahead of September plate change September 5, 2013 Car registrations are up for the 18th successive month in the UK, according to new data from the SMMT, as the car market grows 10.9 per cent in August. There were only 65,937 vehicles registered this month, as buyers prepare for the plate change in September. That month will typically account for 17 per cent [...]