Blackfinch Spring VCT PLC has released its weekly market update, providing a summary of global events. In the UK, inflation remained steady at 6.7% in September, with spiking fuel costs offsetting the first monthly fall in food prices in two years. The yield on 30-year UK government bonds reached its highest level in over 25 years, reflecting a wider global bond market sell-off. UK consumer confidence fell in October, with households becoming more nervous about their personal finances and the outlook for the UK economy. Private rental prices in the UK rose by 5.7% in the 12 months to September, while average house prices increased by 0.2% in August, the smallest increase since April 2012.
In North America, sales of existing US homes dropped by 2% in September to the lowest level in 13 years, due to surging mortgage rates and tight supply. Initial jobless claims in the US fell to 198,000, lower than analyst expectations. US retail sales increased by 0.7% month-on-month in September, exceeding expectations, with spending at restaurants and bars up 9.2% year-on-year.
In Europe, headline and core inflation in the Eurozone fell in September, with the headline measure at a 23-month low of 4.3% year-on-year. In Asia, trade tensions between China and the US intensified, with Beijing implementing export controls on certain graphite items in response to the US tightening its export controls for artificial intelligence chips. China's GDP expanded by 4.9% year-on-year in the third quarter, defying market expectations, driven by a jump in retail sales growth.
Overall, the market update provides a snapshot of key economic indicators and events in various regions, highlighting trends and developments that may impact investment decisions.