The economy is holding up well for now, with retail sales volumes, for example, rising in November. However, the labour market is beginning to creak, with employment on the Labour Force Survey falling in the three months to October. Inflation remains stubbornly above target but we think that it will fall back over the medium term. Recent bond yield increases are also likely to be reversed.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services