House prices set to slow sharply as inflation hits

gHello.

It won’t come as a surprise, but the latest Halifax homes show another record month in December, with prices rising 1.1 pc to a new record high of £ 276,091.

It crowns a remarkable year for the market, which has challenged the gloomy mood of the broader economy to show ever greater growth.

December’s 9.8% annual growth marked the fastest pace since July 2003, while the cash gain of £ 24,500 in 2021 as a whole was the largest since March 2003.

Last year, the average home price hit a new record eight times.

But it is almost certain that things will change in 2002, with rising interest rates and inflation expected to dampen unbridled market growth.

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What happened during the night

Asian stocks posted two days of losses on Friday, climbing as investors waited to see if US jobs data due later in the day would reinforce the need for a faster interest rate hike Americans.

MSCI’s largest Asia-Pacific stock index outside of Japan rose 0.3 percent, boosted by a 1.2 percent gain in the Australian benchmark where bank stocks were first plan, though Japan’s Nikkei dropped its early gains to retreat 0.66 percent.

Futures on the Nasdaq rose 0.5 percent on earlier Asian trading before forgoing some gains to trade over 0.25 percent, and S&P 500 e-mini stock futures rose 0.17 percent.

Coming today

  • Business : No scheduled update
  • Economy: Halifax Home Price Index (UK), Building PMI (UK), inflation, retail sales (eurozone), industrial production (France, Germany), non-agricultural payroll (WE)
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