UK interest rate cuts expected in 2024; German recession risks rise as factories struggle; oil price drops – as it happened

The yield on UK government bonds drops as the City expects interest rates cuts next summer, as German factory output falls again

Here's Victoria Scholar, head of investment at interactive investor, on today's grocery inflation data:

UK Kantar grocery inflation drops into single digits for the first time this year.

In the four weeks to 29^th October, grocery inflation hit 9.7%, the lowest level since July 2022 and down from 11% in the previous month. Some prices have been falling year-on-year including for butter, dried pasta, and milk, however most prices are still going up. Although it is moving in the right direction, grocery inflation is still stuck sharply above the headline rate of inflation in the UK, highlighting the squeeze on individuals and families from the rising price of food items.

Consumer spending on promotions has now hit 27.2% of total grocery sales - the highest level we've seen since Christmas last year. This is a big gear shift from October 2022 when this figure was less than a quarter.