House prices and shares up
AN unexpected raft of positive economic news provided a boost for homeowners, pensions and businesses yesterday.
The stock market soared to its highest level in more than two years, adding thousands of pounds to the value of workers’ pension funds. Sterling reached a nine-month high against the dollar. And house prices rose at their fastest rate for 18 months.
The 1.8 per cent jump in October pushed the cost of the average home to £164,919 – 6.6 per cent above the trough reached in April 2009, according to the Halifax.
Alongside the Bank of England’s decision to leave interest rates at a record low of just 0.5 per cent for the 19th consecutive month and better than expected manufacturing data, Britons worried about mortgages and their jobs were offered a glimpse of light at the end of the longest recession in history.
The stronger economic figures will also deliver a fillip to David Cameron, who is counting on a sustainable recovery to justify the massive programme of cuts announced in the Comprehensive Spending Review.
More good news... FSTE at 2-year high and Sterling hits a 9 month high against the Dollar and house prices bounce back.
