Investing.com – Britain's construction sector activity fell significantly more-than-expected in April, industry data showed on Wednesday.
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 53.3 in April, down from March’s reading of 56.4.
Economists had expected the index to decline to 55.9 in April.
On the index, a level above 50.0 indicates industry expansion, below indicates contraction.
Input price inflation remained sharp during the latest survey period, despite moderating slightly since March. Respondents mostly linked higher input costs to increased raw material and fuel prices.
Commenting on the report, chief executive officer at the CIPS David Noble said, “Low activity levels in the housing market, tighter government purse strings, rising input prices in fuel and materials, as well as poor cash flow in some cases, are clearly a worry and confidence amongst UK constructors remains at a historically low level.”
Following the release of that data, the pound was down against the U.S. dollar, with GBP/USD shedding 0.08% to hit 1.6473.
Meanwhile, European stock markets were mixed. The FTSE 100 fell 0.37%, the EURO STOXX 50 dipped 0.1%, France’s CAC 40 eased up 0.15%, while Germany's DAX rose 0.32%.
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 53.3 in April, down from March’s reading of 56.4.
Economists had expected the index to decline to 55.9 in April.
On the index, a level above 50.0 indicates industry expansion, below indicates contraction.
Input price inflation remained sharp during the latest survey period, despite moderating slightly since March. Respondents mostly linked higher input costs to increased raw material and fuel prices.
Commenting on the report, chief executive officer at the CIPS David Noble said, “Low activity levels in the housing market, tighter government purse strings, rising input prices in fuel and materials, as well as poor cash flow in some cases, are clearly a worry and confidence amongst UK constructors remains at a historically low level.”
Following the release of that data, the pound was down against the U.S. dollar, with GBP/USD shedding 0.08% to hit 1.6473.
Meanwhile, European stock markets were mixed. The FTSE 100 fell 0.37%, the EURO STOXX 50 dipped 0.1%, France’s CAC 40 eased up 0.15%, while Germany's DAX rose 0.32%.