This week in money

Inflation, consumption, second-hand consumption, issues with consumption and Hong Kong.

Securities backed by certain auto loans have “some real fundamental credit issues”. Rebecca Cook / Reuters

“As inflation continues to remain lower than the RBI’s guidance, we expect the numbers to add to the pressure on the central bank to reduce rates”

Anjali Verma, Mumbai-based economist at PhillipCapital, on the Reserve Bank of India's decision to refrain from cutting interest rates at its latest policy announcement.

UK consumers are spending less

British consumers cut their spending for the first time in nearly four years last month, figures from credit card firm Visa showed, as households turned more cautious even before last week’s shock election result. Consumer spending in May was 0.8 per cent lower than in the same month in 2016 after adjusting for inflation, the first year-on-year fall since September 2013, Visa said.

Dh133,000

That is the average listing price for the premium verified second-hand car in the UAE, according to Sell It For Me, the vehicle selling solution of dubizzle Motors. Over 160 cars have been sold through Sell It For Me since its soft launch in December 2016. The most expensive verified car currently up for sale is a 2016 Rolls-Royce Wraith, on the market for Dh979,000, while the least expensive, a 2013 Peugeot 308, is offered for Dh22,000.

Subprime auto has ‘credit issues’

There may be trouble ahead for the debt fuelling America’s car addiction. Securities backed by certain auto loans have “some real fundamental credit issues,” according to Chris Flanagan, a top-ranked analyst who specialises in structured finance at Bank of America. The dangers lurk in subprime deals and in bonds supported by car rentals he said.

Hong Kong wealth gap hits 46-year high

Hong Kong’s wealth gap is at its highest in nearly 50 years, with living conditions fuelling discontent in the city as it prepares to mark two decades under Chinese rule. Sky-high prices and the cost of living outstrip many ordinary residents’ salaries in Hong Kong.