Economy

PMI inches up to 52.5 points in August

PMI inches up to 52.5 points in August”

The IHS Markit/CIPS construction purchasing managers' index fell to 51.1 from 51.9 the month before, below expectations for an uptick to 52.0 and pointing to the weakest overall United Kingdom construction performance since August 2016.

Housebuilding was the only construction sector to generate significant growth during August, the PMI showed.

"Admittedly, the decline in the PMI partly reflected a sharp fall in the civil engineering activity index to just 50.2 in August, from 54.0 in July. We need to see the government deliver structural reforms which focus on broadening the skills base - giving greater consideration to the role that women and apprentices can play - particularly whilst a question mark hovers over the heads of our European Union migrant construction workers, who make up such a crucial part of our workforce". This points to only marginal expansion.

There were also signs of a sustained soft patch ahead, with new business volumes falling for the second month running. Meanwhile, civil engineering activity was essentially flat. It's particularly unsettling to see that employment numbers rose at the slowest pace in over 12 months. This was reported to be the effect of reduced business investment amid increased uncertainty.

Survey compiler IHS Markit said the murky economic outlook for Britain weighed on commercial building, with clients delaying spending decisions or even scaling back projects.

Activity in the United Kingdom construction sector unexpectedly declined in August, to its lowest level in a year, according to data released on Monday.

"This good fortune in prices is unlikely to continue as suppliers scrabble to match the demand for an increasing number of materials in short supply and delivery times lengthened". Although total new orders continued to decline, the rate of contraction softened against a backdrop of rising exports.

Cost pressures were the weakest since September 2016.

The construction sector had a disappointing Q2 with the Office for National Statistics reporting that output contracted 1.3% quarter-on-quarter, although this did follow an expansion of 1.1% in Q1. The latest data shows that construction output fell 0.1% month-on-month in June, which was a third successive fall.



Like this

loading...
loading...

Latest


04 September 2017
Saina returns to Gopichand academy: Here's how badminton greats buried the hatchet
This is not the first time that Gopichand and Gutta have been at loggerheads and their spat has been on for many years now. Saina surged to the world No. 1 spot, reached the All England final and also bagged two World Championship medals.

04 September 2017
Adelaide killer 'licked bloodied knife' after stabbing man in chest
The jury has viewed the crime scene and the trial is expected to continue until next week. Justice David Peek said the woman had admitted she was guilty of manslaughter.

04 September 2017
Trump meets with Harvey survivors in shelter
On Saturday, some area residents, even one on the opposite side of the political spectrum, said Trump's visit was a positive. As Trump visited, the Houston area was still burying its dead and trying to contain the mess.

04 September 2017
What's closed, what's open for Labor Day holiday
In the county, there will be no curbside collections and all county dumps and recycling centers will be closed. Some offices are shut down, along with schools; most banks are closed and mail is on hold as well.

04 September 2017
Atletico Madrid halve Antoine Griezmann buyout clause
After three Premier League matches Manchester United haven't shown any need for Griezmann, and the Red Devils could decide to pass on the player in January.

04 September 2017
Two militants killed in Kashmir encounter
Early morning when the searches started, the militants hiding in the area opened fire and it established the contact. So far, forces have recovered an AK-47 rifle from their possession and the combing operation is underway.

04 September 2017
Jeff Horn eyes Jesse Vargas after Manny Pacquiao withdrawal
Dean Lonergan, the local promoter for Horn, confirmed in several reports that Pacquiao had to beg off for the initially slated november 12 rematch.

04 September 2017
J&K: 2 Hizbul militants gunned down in Sopore encounter
As per early information, both of the neutralised terrorists were members of terror outfit Hizbul Mujahideen . Police did not rule out the possibility of many more militants still alive and fighting.

04 September 2017
Gujarat Fortunegiants vs Jaipur Pink Panthers
For Gujarat, Sachin's efforts with seven raid points and Abozar Mighani's work defensively (four tackle points) went in vain. This was their first match in nearly two weeks and they have got ample time to leave behind their disastrous home leg.

04 September 2017
Stock futures dip after North Korea nuclear test
President, this is not a manhood issue, this is a national security issue". Neither North Korea nor South Korea is a Security Council member.