Investing.com - Construction sector activity in the U.K. shrank unexpectedly in November, slowing to a three-month low, industry data showed on Tuesday.
In a report, market research firm Markit and the Chartered Institute of Purchasing & Supply said that their U.K. construction purchasing managers' index fell to a seasonally adjusted 49.3 in November from a reading of 50.9 in October.
Economists had expected the index to fall to 50.5 last month.
On the index, a level above 50.0 indicates industry expansion, below indicates contraction.
According to the data, new orders declined at the steepest rate in just over three-and-a-half years last month. In addition, jobs were cut at the fastest pace in almost two years.
Commenting on the report, senior economist at Markit Tim Moore said, “November’s PMI survey suggests that construction output has yet to hit rock bottom.”
“A protracted decline in workloads, the double-dip UK recession and shrinking investment spending has made 2012 a year to forget for the construction sector,” he added.
Following the release of that data, the pound remained higher against the U.S. dollar, with GBP/USD adding 0.2% to trade at 1.6123.
Meanwhile, European stock markets held on to mild gains. London’s FTSE 100 eased up 0.2%, the EURO STOXX 50 rose 0.6%, France’s CAC 40 climbed 0.75%, while Germany's DAX added 0.2%.
In a report, market research firm Markit and the Chartered Institute of Purchasing & Supply said that their U.K. construction purchasing managers' index fell to a seasonally adjusted 49.3 in November from a reading of 50.9 in October.
Economists had expected the index to fall to 50.5 last month.
On the index, a level above 50.0 indicates industry expansion, below indicates contraction.
According to the data, new orders declined at the steepest rate in just over three-and-a-half years last month. In addition, jobs were cut at the fastest pace in almost two years.
Commenting on the report, senior economist at Markit Tim Moore said, “November’s PMI survey suggests that construction output has yet to hit rock bottom.”
“A protracted decline in workloads, the double-dip UK recession and shrinking investment spending has made 2012 a year to forget for the construction sector,” he added.
Following the release of that data, the pound remained higher against the U.S. dollar, with GBP/USD adding 0.2% to trade at 1.6123.
Meanwhile, European stock markets held on to mild gains. London’s FTSE 100 eased up 0.2%, the EURO STOXX 50 rose 0.6%, France’s CAC 40 climbed 0.75%, while Germany's DAX added 0.2%.