Manufacturing is in a hole but the housing market is pretty buoyant,
With both fiscal and monetary policy now set to tighten slightly next year, we remain comfortable with our forecast of a mere 1 percent expansion next year.
Adding to the sense of foreboding is the fact that the locomotives behind the better-than-expected third-quarter GDP figures -- Germany, France and Italy -- all appear to have run out of steam toward year end.
There is growth, but it isn't great and you can't be confident of momentum going forward.
If there is contagion from a collapse in confidence in the U.S., that could impact Europe,
We've seen for six months on the trot the Bank of England asking for higher rates. A new chancellor will have to build credibility with markets, so he'll almost certainly have to deliver a rate hike if one's asked for.
Consumers need an uplift, not a kick in the teeth. If we don't get them spending soon, policy makers are going to face bigger problems than higher housing prices.
