United Kingdom GBP

United Kingdom Nationwide Housing Prices YoY

Impact:
Medium

Latest Release:

Date:
Surprise:
0.6%
| GBP
Actual:
3.5%
Forecast: 2.9%
Previous/Revision:
3.4%
Period: May

Next Release:

Date:
Forecast: 4.2%
Period: Jun
What Does It Measure?
The United Kingdom Nationwide Housing Prices YoY measures the annual change in residential property prices as reported by Nationwide Building Society, focusing on the health of the housing market and consumer confidence. This indicator evaluates key components such as price trends, housing demand, and overall economic sentiment regarding home ownership.
Frequency
This report is released monthly, presenting the preliminary figures for housing price changes, typically on the first business day of each month.
Why Do Traders Care?
Traders closely monitor this indicator due to its direct implications for consumer spending and economic health; robust housing market performance is often bullish for the British pound (GBP) and equities. Conversely, weaker trends may suggest economic slowdown, exerting bearish pressure on currencies and stocks.
What Is It Derived From?
The housing price index is calculated using data from Nationwide's mortgage approvals along with other real estate transactions, closely surveying market conditions and trends. The methodology incorporates significant weighting based on housing transactions across various regions of the UK to provide a comprehensive picture.
Description
The Nationwide Housing Prices YoY contrasts the current year's prices against the previous year's prices, effectively eliminating seasonal fluctuations and providing insight into long-term price trends. This comparison aids in understanding the trajectory of the housing market, showcasing whether prices are appreciating or depreciating year-over-year, thus serving as a critical indicator for economic analysis.
Additional Notes
This measure is generally considered a lagging indicator as it reflects past and ongoing market conditions rather than foreseeing future trends. It relates to other economic data such as inflation rates and employment figures, offering a more textured view of the UK's broader economic landscape.
Bullish or Bearish for Currency and Stocks
Higher than expected: Bullish for GBP, Bullish for Stocks. Lower than expected: Bearish for GBP, Bearish for Stocks.

Legend

High Potential Impact
This event has a strong potential to move markets significantly. If the 'Actual' value differs enough from the forecast or if the 'Previous' value is significantly revised, it signals new information that markets may rapidly adjust to.

Medium Potential Impact
This event may cause moderate market movement, especially if the 'Actual' deviates from the forecast or there's a notable revision to the 'Previous' value.

Low Potential Impact
This event is unlikely to affect market pricing unless there's an unexpected surprise or a major revision to prior data.

Surprise - Currency May Strengthen
Actual deviated from Forecast on a medium or high impact event and historically could strengthen the currency.

Surprise - Currency May Weaken
Actual deviated from Forcast on a medium or high impact event and historically could weaken the currency.

Big Surprise - Currency More Likely To Strengthen
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely strengthen the currency.

Big Surprise - Currency More Likely To Weaken
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely weaken the currency

Green Number Better than forecast for the currency (or previous revise better)
Red Number Worse than forecast for the currency (or previous revise better)
Hawkish Supports higher interest rates to fight inflation, strengthening the currency but weighing on stocks.
Dovish Favors lower rates to boost growth, weakening the currency but lifting stocks.
Date Time Actual Forecast Previous Surprise
3.5%
2.9%
3.4%
0.6%
3.4%
4.1%
3.9%
-0.7%
3.9%
3.8%
3.9%
0.1%
3.9%
3.4%
4.1%
0.5%
4.1%
4.3%
4.7%
-0.2%
4.7%
3.8%
3.7%
0.9%
3.7%
2.4%
2.4%
1.3%
2.4%
2.8%
3.2%
-0.4%
3.2%
2.4%
2.4%
0.8%
2.4%
2.9%
2.1%
-0.5%
2.1%
1.8%
1.5%
0.3%
1.5%
1.1%
1.3%
0.4%
1.3%
1.3%
0.6%
0.6%
1.2%
1.6%
-0.6%
1.6%
2.4%
1.2%
-0.8%
1.2%
0.7%
-0.2%
0.5%
-0.2%
-0.9%
-1.8%
0.7%
-1.8%
-1.4%
-2%
-0.4%
-2%
-2.3%
-3.3%
0.3%
-3.3%
-4.8%
-5.3%
1.5%