For the first time since the annual stress testing regime began in 2014, all the major lenders received a clean bill of health, though the weakest two - Barclays and state-backed Royal Bank of Scotland - struggled. The tests modelled a nightmare scenario under which UK GDP slumps by 4.7% amid a wider global downturn, unemployment rises to 9.5%, the pound plunges and the Bank's interest rate climbs to 4% - while house prices undergo a record 33% collapse. They were carried out on Lloyds Banking Group, HSBC, Barclays, RBS, Santander UK, Standard Chartered and Nationwide.
In the US session CB Consumer Confidence figures were published. The Conference Board Consumer Confidence Index, which had improved in October, increased further in November. The Index now stands at 129.5 (1985=100), up from 126.2 in October. The Present Situation Index increased from 152.0 to 153.9, while the Expectations Index rose from 109.0 last month to 113.3. "Consumer confidence increased for a fifth consecutive month and remains at a 17-year high (Nov. 2000, 132.6)," said Lynn Franco, Director of Economic Indicators at The Conference Board.
From the UK, tomorrow, Net Lending to Individuals data will be released. Decline to £4.3 billion is anticipated. In the US session GDP figures will be published. Analysts expect growth by 3.3%. However, the focus of the session will be on Fed Chair Yellen testimony.
Figures to watch:
Net Lending to Individuals (Wednesday 10:30)
Prelim GDP (Wednesday 14:30)
Fed Chair Yellen Testifies (Wednesday 16:00)
