UK: Disappointing manufacturing data - TDS

Sandeep Kanihama FXStreet Contributor

Analysts at TD Securities note that the UK’s January Manufacturing PMI disappointed as per their expectations, falling to 52.8, its second-weakest reading since mid-2016.

Key Quotes

“Strength was seen in the stockpiling index, which hit a record high as firms boost inventories ahead of Brexit, but production volumes hit a 2.5yr low and export orders stagnated.”

“Details show that consumer-facing firms fared well, while investment good producers saw outright declines, boding poorly for business investment in the near-term. Firms cited Brexit, the exchange rate, and signs of a European economic slowdown as factors weighing on sentiment.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

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