FTSE 100 Live 02 January: Asia markets slump, UK house prices strengthen

London: The FTSE 100 index is holding steady, up nearly 15 points at 8187.95, even as Asian markets take a hit. The Shanghai Composite dropped 2.7%, and the Hang Seng index fell by 2.4%. This drop came after a disappointing manufacturing report from China.

Meanwhile, the FTSE 250 index is also on the rise, starting the year up by 25.18 points. Over in the grocery sector, Lidl reported impressive sales, hitting over £1 billion in just four weeks leading up to Christmas. That’s a 7% increase from last year, thanks to strong demand for festive food and drinks.

On a different note, Tasty, which runs several restaurant brands, shared a less rosy outlook. They mentioned that December was particularly tough, with consumer confidence dipping and spending tightening. They’re feeling the pinch from rising food costs and wage increases too.

In housing news, UK house prices ended the year on a high note, with a 0.7% increase in December. The average price now sits at £269,426, which is 4.7% higher than last year. Northern Ireland is leading the charge with a 7.1% rise in prices.

Nationwide’s chief economist noted that despite affordability issues, the housing market has shown surprising strength. However, upcoming changes to stamp duty might shake things up, leading to a flurry of transactions early in the year before things settle down again.