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mpc: 9 There was a possibility that there might be a more sustained period of adjustment in the United States, particularly in the housing market, with house sales and housing construction indicators both easing recently. The house price inflation rate had fallen in November and December, while forward- looking indicators of activity had also edged lower in recent months. A slowdown in the US housing market would probably have implications for consumption and private residential investment. But just as in the United Kingdom, the correlation between house price inflation and consumption growth had fallen in recent years, and so although some further dampening of consumer spending was possible, it was not clear how far any adjustment in the housing market would affect consumption growth.