In UK, retail sales weakened and slid by 0.3% in Oct'23 (MoM basis) far lower than expected and ex-petrol, the sales volume were down by 0.1%.
Jahnavi Prabhakar,
Economist,
Bank of Baroda
Mumbai, November 20, 2023: Investors across the globe brace for the likelihood of the US interest rates peaking. It was stated by Fed official Mary Daly that Fed needs to be ‘patient and resolute’ and ‘additional firming is not off the table’. Another Fed official, Austan Goolsbee added that he remains confident of the Fed meeting its inflation target as he expects easing of housing price pressure. A lot more clarity on economic and interest rate projections will be seen in the next policy meet. Separately, both building permits and housing starts data rose more than expected on a MoM basis to 1.1% and 1.9% respectively in Oct’23. On the other hand, homebuilder confidence dropped in Nov’23, though early signs of mortgage rate lowering may improve its outlook. In UK, retail sales weakened and slid by 0.3% in Oct’23 (MoM basis) far lower than expected and ex-petrol, the sales volume were down by 0.1%.
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