UK house prices continue to rise supporting the London equity market

Thursday, January 16, 2014

UK house prices expectations hit a 14-year high in December, supported by low interest rates. The Royal Institute of chartered Surveyors (RICS) showed that house prices increased in every area of Britain in December. However, please note that the main house price balance measure eased to +56 in December, compared to +58 in November.

European equity markets have been trading sideways in early trading ahead of the releases of key economic data from the US and Eurozone. The main focus will switch to the Eurozone’s inflation figures as well as weekly jobless claims and Philly Fed business index in the US.  

Energy: Crude oil prices finished at a two-week high on Wednesday after following a bullish EIA oil inventories report, which showed large declines in crude and distillate stocks but a big increase in gasoline inventories due to the freezing conditions in the country. However, we expect some consolidation in today’s trading session in the energy market as investors remain cautious amid expectations of increases in crude oil supplies from Iran and Libya in the short-term.

LME copper has remained fairly steady near a one-week high as a shortfall in physical markets supported copper prices, although prospects of an action by the US Federal Reserve to curb stimulus limited any possible strong gains.

 

Events for today:

0001

UK

Dec

RICS House Prices

0700

DE

Dec

CPI Final

1330

US

Dec

CPI

1330

US

w/e

Jobless Claims

1500

US

Jan

Philly Fed index

1530

US

w/e

EIA Nat Gas

 

All times UK Local Time

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