United Kingdom manufacturing PMI falls more than expected in June

by Susie Olson July 4, 2017, 0:32
United Kingdom manufacturing PMI falls more than expected in June

But British manufacturing grew more slowly than expected as consumers faced the double-hit of accelerating inflation - caused in large part by the fall in the pound since last year's vote to leave the European Union - and by slowing wage growth. the U.K. PMI fell to 54.3 from a downwardly-revised 56.3 in May, a three-month low and below all forecasts in a Reuters poll of economists that pointed to a reading of 56.5. "Export growth strengthened and business optimism remained elevated", the report explained.

While the figure fell short of forecasts, it also marked the eleventh consecutive month of expansion in the sector and, at 55.9, the average PMI level over the second quarter as a whole was the best registered for three years.

June's reading was the highest since April 2011 and was comfortably above the 50 level that separates growth from contraction.

The report showed that production level index for manufacturing sector grew for the fourth consecutive month in June 2017. "The manufacturing sector is clearly in expansion mode and looks poised for continued robust growth in coming months", Williamson said.

"On a more cheerful pitch, the PMI survey showed strong foreign demand for Indian-manufactured products in June".

Texas man charged in boating accident that killed 4-year-old
Her father, Patrick , tried to save Kaitlyn, but his legs were severed in the process, police said Friday. Temple police said her father jumped in to save her, but became tangled up in the propeller as well.

Dobson explained that the main factor driving the broad slowdown in June was a steep easing in the rate of increase in new order intakes.

"Export orders remained disappointingly lacklustre despite the ongoing competitiveness boost of the weak sterling exchange rate", he said.

The pickup is consistent with other indications that economic growth in the currency area accelerated in the three months to June, having already speeded up in the first quarter.

Manufacturing accounts for around 10 per cent of UK GDP output.

"Based on the inventory trends and confidence around future output, the June reading was more like a temporary rebound, with an economic downtrend likely to be confirmed later", Zhong said. Alongside reports of a deceleration in the rate of expansion of new orders from the domestic market, manufacturers also noted that new export business rose at a weaker pace.


TOP News

Parade Of GOPers Wobbly On O'Care Bill Roll Through McConnell's Office
But losing her support makes it easier for other Republicans to walk away from a bill that's likely to be politically devastating. It has big tax cuts for the wealthy, much less assistance for low-income and working-class people to buy health care.

Luke Cage's Mahershala Ali in 'Early Talks' for True Detective S3 Role
Usually, I'd want to know the story line before I check out the next season of an anthology show, but who am I kidding? He certainly showed his talent for intensity on Luke Cage , where he played the unpredictable and powerful Cottonmouth.

NASA Creates Artificial Clouds Over the Eastern US
Reasons for canceling the launch have included high winds, thunderstorms, cloud cover, and boats in the hazard area. The Terrier-Improved Malemute sounding rocket was finally a success after 11 recent unsuccessful attempts.

Pa. man charged with murder in road rage shooting of teen
Roberson's grandmother drove by the murder scene, without knowing that her granddaughter was the victim. "I hope it's not Bianca". West Goshen police have logged more than 1,000 tips on the case, and tips have come in from across the country.

Jamie Murray and Bruno Soares win doubles at Queen's
Murray told BBC Radio Five Live's Sportsweek: "I think winning the Davis Cup was a huge, huge moment because they did it together. Jamie's win made up for Andy's unexpected first round loss in the singles at Queens Club earlier in the week.

South Koreans march to protest US missile defence system
Tokyo's preference of Aegis Ashore over THAAD for defense against North Korean missiles comes down to cost-effectiveness. . South Korea's presidential Blue House said Friday that plan to deploy the U.S.

Hong Kong gets its first female chief executive, Lam Cheng sworn
The city of Hong Kong on Saturday celebrated the 20th anniversary of its transfer from British authority to China. Several pro-democracy groups protested against Xi's visit and scuffled with pro-China organisations and police.

Disney to remove 'wench' auction from Pirates of the Caribbean ride
"At this rate I fear that the entire ride will disappear one day as pirates were not historically moral nor politically correct". The changes will be unveiled on July 24 in Disneyland Paris, and sometime in 2018 in Walt Disney World and Disneyland.

Mnuchin Announces Sanctions on Chinese Bank Over North Korea
He said that "nobody is off limits" when it comes to giving illegal financial assistance to North Korea . Anxieties about North Korea's nuclear capabilities have escalated amid recent missile tests .

Germany's Low pleased after Chile draw: 'We lived up to expectations'
They also kicked each other quite a bit to stifle attacking rhythm - Germany finished the match with 14 fouls, and Chile with 19. Sanchez came close to scoring his second a few minutes later with a low left-foot shot that required a hard save by Ter Stegen.