Good news for the UK economy

The FTSE 100 booked a second week of growth, ending 2% higher, thanks to a 0.6% gain on Friday. Sentiment was boosted by data showing that inflation continues to cool in the US and the Eurozone, and China's reopening

Better-than-expected economic growth in November the UK also helped. It was partly due to higher spending in pubs and bars during the World Cup, as well as strong sales of the fifi video game.

GDP increased 0.1 per cent between October and November 2022, the Office for National Statistics said on Friday, while a 0.2% contraction was expected in a Reuters poll of economists.

Today is expected to be quiet, as US financial markets are closed for a public holiday. The FTSE 100 remained fat this morning.

In other news, new data from Rightmove shows that housing prices rose in January, another positive sign for the British economy.

Among stocks, ITM Power tumbled 13% after it warned on its full-year results.

 

Things to read today:

Top Global companies write down billions as deals make way for gloom (Financial Times)

Economists in WSJ Survey Still See Recession This Year Despite Easing Inflation (WSJ)

Mortgage Market is a Bright Spot in UK Cost of Living Crisis (Bloomberg)