Mortgage rates dip below 5% as NatWest, TSB, Nationwide and other lenders reduce their deals in a ‘growing rate war’
European shares have opened lower, and global stocks are on track for their worst week in a month, as investors are now expecting US interest rates to stay high for some time.
MSCI’s index of global equities dropped 1.7%.
Returning consumer confidence helped retail sales regain lost ground after a challenging July. Toiletries, cosmetics, and books performed particularly well as consumers purchased holiday essentials for their late summer getaways. Although white goods and other big-ticket items continued to take a hit as households spent more cautiously.
The next few months are vital for retailers as they gear up for the all-important Christmas trading. While cost-of-living challenges continue to loom large, retailers are working hard ensuring customers get the best possible value. Their capacity to do this is limited by the upcoming rise to business rates, which will see retailers paying hundreds of millions more every year and which the chancellor should scrap in his upcoming autumn statement.
