U.K. housing price growth eases October, housing market sentiment unlikely to improve in near-term

The U.K. house price growth moderates further. The official U.K. house price data released today affirmed that the housing sector’s momentum continued to ease in October. The headline rate of price growth dropped from a downwardly revised pace of 3 percent year-on-year in September to 2.7 percent year-on-year in October. This is the slowest since mid-2013.

Nevertheless, on average, prices continue to be on an upward trajectory, with the three-month rate unchanged at 1 percent three-month-on-three-month.

“Looking ahead, while a higher pace of wage growth could gradually inject a little more optimism into the market, housing market sentiment seems unlikely to improve significantly until Brexit uncertainty is resolved and the pace of economic expansion improves”, said Daiwa Capital Market Research in a report.

At 19:00 GMT the FxWirePro's Hourly Strength Index of British Pound was neutral at -37.4766, while the FxWirePro's Hourly Strength Index of US Dollar was bearish at -84.0901. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex