UK Feb. manufacturing PMI slips to eight-month low

The upturn in the UK manufacturing sector slowed further during February, the latest Markit survey revealed this Thursday. In fact, the UK manufacturing Purchasing Managers' Index (PMI) arrived at 55.2 for February, down from previous month’s reading of 55.3 but still slightly better than 55.0 expected. 

Key Points:     

   •  Output growth slows despite improving demand and job creation
   •  Price pressures remain elevated but moderate since January

Rob Dobson, Director at IHS Markit, who compiles the survey, commented: “The February survey provided mixed signals on the health of the UK manufacturing sector. The PMI’s Output Index fell to its second-lowest level since the EU referendum and, based on its past relationship with official ONS data, is consistent with only a subdued 0.4% quarterly pace of growth in production volumes. This would represent a marked downshift from the 1.3% increase signalled for the final quarter of 2017, providing a further brake on the rate of expansion in the wider economy.”