FOREX TradingCharts.com

Financial News: UK Manufacturing Strong On Global Growth, Weaker Pound

UK Manufacturing Strong On Global Growth, Weaker Pound

01/03/2018 - 02:08:00 (RTTNews)

(RTTNews) - The UK manufacturing sector is having a strong run, thanks to solid demand for exports and a weaker pound, but the Bank of England may find it difficult to hike the interest rate in the near term due to the benign outlook for growth and inflation, James Smith, an economist at ING, said.

The manufacturing Purchasing Managers' Index dropped to 56.3 in December 58.2 in November, survey data from IHS Markit showed Tuesday. Any reading above 50 indicates expansion in the sector.

Despite this fall, the PMI is still riding high on the wave of stronger global growth, and to a lesser extent, the weaker pound, the economist noted.

"The manufacturing sector continues to be a clear bright spot, but it's worth remembering that it makes up a relatively small share of the overall economy," Smith pointed out.

Looking head, Smith said a pick up in consumer spending is unlikely as real wages are set to be more or less flat this year.

This will offset any further manufacturing gains and limit overall growth to around 1.4 percent in 2018, he added.

Furthermore, this will continue to make life difficult for the Bank of England, who we think have a relatively narrow window before the summer if they want to squeeze in another hike, Smith said.

"Policymakers have signaled they are inclined to increase rates again if the opportunity arises, particularly now that a transition period is likely to be agreed at some point in the first quarter," the ING economist said.

"But a benign outlook for growth and inflation means a rate hike is still far from a done deal," the economist concluded.

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2018 RTTNews.com. All Rights Reserved

Market News provided by RTTNews

RECENT INTERNATIONAL FINANCIAL NEWS


BRAZIL: Ibovespa Closes At Fresh Record High As Traders Eye The Coming Week (04 hr(s), 01 min(s), 47 sec(s) ago)
(RTTNews) - Ibovespa, the benchmark stock market index in Brazil, rose 0.32% Friday and ended the ...Full Story»

Japan Condominium Sales Data Due On Monday (04 hr(s), 13 min(s), 47 sec(s) ago)
(RTTNews) - Japan will on Monday see December figures for condominium and convenience store sales, ...Full Story»

ARGENTINA: Merval Falls On Profit-taking, But Climbs Higher In The Week (04 hr(s), 32 min(s), 47 sec(s) ago)
(RTTNews) - Merval, the main index of the Buenos Aires Stock Exchange, fell 1.31% Friday, closing ...Full Story»

COLOMBIA: Colcap Falls 0.10% Due To Low Trading Volume (05 hr(s), 01 min(s), 47 sec(s) ago)
(RTTNews) - Colcap, the main index of the Colombian Stock Exchange, fell 0.11% at 1,546.33 points ...Full Story»

CCR: Company May Bid For Subway Lines In Peru And Colombia (06 hr(s), 0 min(s),47 sec(s) ago)
(RTTNews) - Brazilian infrastructure firm Companhia de Concessões Rodoviárias (CCR) may take par ...Full Story»

ARGENTINA: President Macri To Travel To Moscow To Meet Putin (06 hr(s), 30 min(s), 47 sec(s) ago)
(RTTNews) - Argentinean President Mauricio Macri is expected to arrive at Moscow on Tuesday for a ...Full Story»

ARGENTINA: U.S. To Eliminate Import Duties To More Than 700 Products (06 hr(s), 36 min(s), 47 sec(s) ago)
(RTTNews) - Argentina will be able to export more than 700 products to the United States with a ze ...Full Story»

ARGENTINA: International Reserves Increased To US$ 55.055 Bln In December (06 hr(s), 44 min(s), 47 sec(s) ago)
(RTTNews) - The Argentinean central bank (BCRA) international reserves increased by US$ 491 millio ...Full Story»

Search

INTERNATIONAL FINANCIAL NEWS

BRAZIL: Ibovespa Closes At Fresh Record High As Traders Eye The Coming Week

01/21/2018 - 17:42 PM (RTTNews)
(RTTNews) - Ibovespa, the benchmark stock market index in Brazil, rose 0.32% Friday and ended the ...Full Story>>

Japan Condominium Sales Data Due On Monday

01/21/2018 - 17:30 PM (RTTNews)
(RTTNews) - Japan will on Monday see December figures for condominium and convenience store sales, ...Full Story>>

ARGENTINA: Merval Falls On Profit-taking, But Climbs Higher In The Week

01/21/2018 - 17:11 PM (RTTNews)
(RTTNews) - Merval, the main index of the Buenos Aires Stock Exchange, fell 1.31% Friday, closing ...Full Story>>

COLOMBIA: Colcap Falls 0.10% Due To Low Trading Volume

01/21/2018 - 16:42 PM (RTTNews)
(RTTNews) - Colcap, the main index of the Colombian Stock Exchange, fell 0.11% at 1,546.33 points ...Full Story>>

CCR: Company May Bid For Subway Lines In Peru And Colombia

01/19/2018 - 15:43 PM (RTTNews)
(RTTNews) - Brazilian infrastructure firm Companhia de Concessões Rodoviárias (CCR) may take par ...Full Story>>

Binary Options Articles Courtesy of NADEX

These pages, and all content ©TradingCharts.com Inc and other copyright holders. Permission is not granted to redistribute charts, data, news or other information found on this site, in any manner. Although it is believed that information provided is accurate, TradingCharts will not accept liability for any loss or damage that may arise from use of the content, inability to access the website, or delay or failure of receive of any information provided through this site.