Positive news for the housing market

U.K. consumer confidence rose to the highest in 21 months in October as Britons said they are more likely to make big purchases, GfK NOP said. An index of sentiment rose to minus 13, the highest since January 2008, from minus 15 the previous month, the market researcher said. Rising consumer confidence will help pull the U.K. out of the worst recession since World War II after the economy unexpectedly contracted in the third quarter and may lead to early support for the pound.

Also this morning we had Nationwide UK house prices. Prices were higher year-on-year in October - the first annual rise for 19 months, the Nationwide said. Property prices were 2% higher in October than in the same month the previous year, with the average home costing £162,038. But the pace of monthly price rises has eased - going up by 0.4% - and the building society said that values could plateau in the autumn months possibly putting pressure on sterling.

Elsewhere the Bank of Japan kept interest rates on hold, as expected at 0.1%