Investing.com - Service sector activity in the U.K. expanded at a slower rate than expected in September, as a net fall in employment was recorded for the first time in ten months, industry data showed on Wednesday.
In a report, market research group Markit said the seasonally adjusted Markit/CIPS Services Purchasing Managers Index fell by 1.5 points to 52.2 in September from a reading of 53.7 in August.
Analysts had expected the index to decline by 0.6 points to 53.1.
On the index, a level above 50.0 indicates expansion in the industry, below 50.0 indicates contraction.
A solid increase in volumes of incoming new business supported the latest rise in activity. Despite ongoing growth in September, a number of panelists reported that operating conditions were challenging.
Commenting on the report, David noble, chief executive officer at the CIPS said, “With no Bank Holidays until Christmas and the Olympics finished, we now have a three month clear run, without disruptions, to try and get a sense of where the sector – and the economy – really is.”
Following the release of that data, the pound held on to losses against the U.S. dollar, with GBP/USD shedding 0.19% to trade at 1.6103.
Meanwhile, European stock markets were broadly lower. The EURO STOXX 50 shed 0.1%, France's CAC 40 slumped 0.2%, London’s FTSE 100 declined 0.15%, while Germany's DAX fell 0.1%.
In a report, market research group Markit said the seasonally adjusted Markit/CIPS Services Purchasing Managers Index fell by 1.5 points to 52.2 in September from a reading of 53.7 in August.
Analysts had expected the index to decline by 0.6 points to 53.1.
On the index, a level above 50.0 indicates expansion in the industry, below 50.0 indicates contraction.
A solid increase in volumes of incoming new business supported the latest rise in activity. Despite ongoing growth in September, a number of panelists reported that operating conditions were challenging.
Commenting on the report, David noble, chief executive officer at the CIPS said, “With no Bank Holidays until Christmas and the Olympics finished, we now have a three month clear run, without disruptions, to try and get a sense of where the sector – and the economy – really is.”
Following the release of that data, the pound held on to losses against the U.S. dollar, with GBP/USD shedding 0.19% to trade at 1.6103.
Meanwhile, European stock markets were broadly lower. The EURO STOXX 50 shed 0.1%, France's CAC 40 slumped 0.2%, London’s FTSE 100 declined 0.15%, while Germany's DAX fell 0.1%.