US Housing Market Data Response Case-Shiller / FHFA House Prices (Dec.) The Case-Shiller and FHFA house price indices painted contrasting pictures in December. Annual growth on the Case-Shiller index rose to 6.3%, the highest level since May 2014. But the FHFA reported a... 27th February 2018 · 1 min read
Europe Economics Update Rising Dutch house prices to support economic growth The Dutch housing market is set to perform well this year and next. And as there is a strong link between house prices and consumer spending, this should give the already strong-economy a further... 26th February 2018 · 1 min read
UK Housing Market Data Response UK Finance Mortgage Lending (Jan.) January’s surge in mortgage approvals is not the sign of the market springing back to life, but simply a reversal of the distortions caused by November’s rate hike. The outlook for lending this year... 26th February 2018 · 1 min read
US Housing Market Update Narrowing in spread tempers rise in mortgage rates The impact of higher Treasury yields on mortgage rates has been softened by a narrowing of the spread between the two. That reflects a fall in the option cost of prepayment risk, as higher mortgage... 23rd February 2018 · 1 min read
UK Housing Market Update Will mortgage rates spike when the TFS ends? The Term Funding Scheme did little to lower mortgage pricing, and its withdrawal could pass with little discernible effect. But by boosting lenders’ marginal funding costs, the end of the TFS does... 23rd February 2018 · 1 min read
India Chart Pack Import duty hikes unlikely to aid local manufacturing Recent hikes to import duties on various goods appear to be an attempt by Prime Minister Modi and the BJP to shore up popular support ahead of a clutch of state elections this year, and the general... 23rd February 2018 · 1 min read
Australia & New Zealand Economics Weekly Is the interest-only loan market nearing a precipice? There has been a renewed focus in recent weeks on interest-only loans in Australia and the potential risk that these loans present to financial stability, particularly given a large portion of... 23rd February 2018 · 1 min read
UK Housing Market Update Why has the rate rise not been fully passed on? November’s rate rise has not been passed on in full to mortgage borrowers. But with swap rates up by 50bps over the last 9 months and banks’ funding costs rising, future rate hikes should elicit a... 21st February 2018 · 1 min read
US Housing Market Data Response Existing Home Sales (Jan.) Existing home sales fell for a second consecutive month in January, leaving them 5% lower than at the start of last year. The good news is that there was a marginal pick up in the number of existing... 21st February 2018 · 1 min read
Japan Chart Pack Is Japan overheating? Japan’s economy recorded an eighth consecutive quarter of growth in Q4, the longest uninterrupted run of expansion since the late 1980s. Unemployment is very low, inflation has started to pick up... 20th February 2018 · 1 min read
US Housing Market Data Response Housing Starts (Jan.) At first glance it appears that housing starts had a very strong start to the year. The 9.7% m/m jump in January more than reversed December’s decline. But the volatile multifamily sector was... 16th February 2018 · 1 min read
UK Housing Market Update Has rental growth in London reached a floor? Affordability for renters in the capital is close to a record low. This has already put a dent in tenant demand, causing rents to stagnate last year. There may be some signs that rental supply is... 15th February 2018 · 1 min read
US Housing Market Focus Are housing stocks signalling the next correction? In contrast to 2005, the recent surge and subsequent retreat in homebuilder share prices is not a signal that the housing market is set for a damaging correction. Back then, homebuilder share prices... 14th February 2018 · 1 min read
Canada Data Response Teranet-National Bank House Prices (Jan.) The resurgence in Vancouver house prices wasn’t enough to prevent a decline in the annual growth rate of the Teranet composite house price index to a 21-month low of 8.7% in January, from 8.9% in the... 14th February 2018 · 1 min read
UK Housing Market Data Response UK House Price Index (Dec.) House price growth was slow and steady last year, with London seeing the most notable slowdown. With prices in the capital so high, we think London will continue to underperform. 13th February 2018 · 1 min read
Australia & New Zealand Economics Weekly An oasis of record low interest rates If global equity markets are fearing higher interest rates, as this week’s fall suggest, then Australia and New Zealand offer something of an oasis as both the RBA and RBNZ dropped some heavy hints... 9th February 2018 · 1 min read
