- UK manufacturing PMI dips to 42.5 in August, below expectations of 45.0.
- UK services PMI shrinks to 48.7 in August, below estimates.
He Seasonally adjusted S&P Global/CIPS UK manufacturing Purchasing Managers’ Index (PMI) fell again up to 42.5 in August, compared to 45.0 expected and 45.3 in July.
For his part, the preliminary UK service sector business activity index reached its lowest level in seven months at 48.7 in Augustcompared to 51.5 in July and 50.8 of the market consensus.
Chris Williamson, chief economist at S&P Global Market Intelligence, commented on the preliminary PMI data: “A new contraction of the economy already seems inevitable, since an increasingly severe recession in manufacturing is coupled with a further weakening of the spring reactivation of the services sector. The survey indicates a drop in GDP of 0.2% so far in the third quarter.”
“While a further interest rate hike in September looks likely, August PMI data will add to speculation that rates may soon peakWilliamson added.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
