–BOE: July M4 Ex-intermediate OFCS Unch. m/m; +1.2% 4q/12m
–BOE: UK July House Purchase Approvals 48,722 vs 48,562 jun
–BOE: UK July M4 Ex-IOFCS Lending up 0.3% m/m; Unch. 4q/12m
–BOE: UK July Net Mortgage Lending Stg86mn vs Stg518mn Jun
–BOE: UK July Net Consumer Credit Stg173mln vs -Stg59mln Jun
London (MNI) – July mortgage approvals came in a little higher in
July than June, defying analysts’ predictions for a fall, but the Bank
of England’s favoured measure of broad money growth showed no growth on
the month and weak annual growth.
The data showed almost non-existent net mortgage borrowing in July,
low net unsecured borrowing and, while mortgage approvals rose, they are
still a long way below their long run average.
M4 excluding intermediate other financial corporations, a broad
money measure which seeks to exclude economically irrelevant
intra-financial sector transactions, was unchanged on the month and up
1.2% on a four quarter/12 month basis, and up 5.6% on a three month
annualised basis.
The three month annualised growth in M4 ex-IOFCs was the weakest
since March. BOE Governor Mervyn King has cited weak money growth as one
reason suggesting the UK is unlikely to see continuously rising prices.
Mortgage approvals rose to 48,722 in July, up from 48,562 in June
but still little more than half the series long run average of 90,000.
This was above analysts’ median 46,8000 forecast.
Net mortgage lending in July stood at just stg86 million, down from
stg518 million in June, while net consumer credit was stg173 million.
–London newsroom: +44 207 862 7491 email: drobinson@marketnews.com
[TOPICS: M$B$$$,M$$BE$,MABPR$,MT$$$$]
