MARKET TALK: Budget Critical To Fortunes Of House Builders

18th Jun 2010 14:04

1304 GMT [Dow Jones] The emergency UK budget on Tuesday will be critical to the fortunes of the UK housing market says Royal Bank of Scotland. Says the sector will be mindful of spending cuts versus tax revenue-raising initiatives. However, thinks the impact of this budget could be limited as the new administration is mindful that the relative stability in the UK housing market is critical to the UK economy. Suggests concerns are being disproportionately discounted into the house building sector's valuations. The FTSE 350 construction and building materials index is currently +0.2% at 3209.8. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires June 18, 2010 09:04 ET (13:04 GMT)