Big ben clock tower in winter sunny morning, London

The FTSE 100 index edged higher on Monday after UK’s Halifax House Price Index data release. The index surged by more than 0.29%. European stocks were mixed on Monday morning. European indices like Euro STOXX edged higher while DAX and CAC 40 slipped.

United Kingdom’s Data Outlook

The FTSE 100 index will react to the latest UK Halifax House Price Index released on Monday. According to the HBOS, the Halifax House Price Index came in at 1.3% MoM in May from the previous 1.5%. This was stronger than the estimated forecast for a 1.2% MoM. The house price index was at 9.5% YoY, higher than the previous 8.2%.

According to the HBOS, the average UK property price hit a new record high in May. The price closed in at £261,743. Annual house price inflation was the highest record in seven years. Wales recorded the strongest price growth.

Easing of the lockdown restrictions and the gradual reopening of the housing market saw the UK house prices soar to records high. The UK government’s stamp duty holiday continues to boost the market activity.

Mortgage approvals in the UK rose in April for the first time in five months. According to the Bank of England, the number of mortgages approved to finance house purchases was up by 4% in May 2021. This was boosted by high buyer demand.

Economic investors are cautiously waiting for the European Central Bank policy meeting on Thursday this week. The bank is expected to maintain its stimulus measures. Investors are also eyeing the US inflation data to be released later this week. This will gauge the Fed’s decision on its monetary policy.

Miners fell 0.9% on Monday as copper prices dipped after a slowdown in Chinese exports. Oil and gas stock also declined as crude prices edged a bit higher.

FTSE 100 Movers

Homebuilders were the best performers in the FTSE 100 index. Taylor Wimpey plc was on the lead with a 2.51% increase. Barratt Developments plc and Persimmon plc were also among the top performers in the index. Each recorded a rise of 2.36% and 2.51% respectively.

Miners were the worst performers in the FTSE 100 index. Anglo American plc recorded the biggest slip in the index. The firm declined by 2.66%. Antofagasta plc and Fresnillo also dragged the index. They recorded a decline of 2.01% and 1.94% respectively.

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