Investing.com – Manufacturing activity in the U.K. fell more-than-expected in August, hitting its lowest level in 9-months, industry data showed on Wednesday.
In a report, market research group Markit said that its manufacturing purchasing managers index declined to a seasonally adjusted 54.3 in August, down from 56.9 in July, whose figure was revised down from 57.3.
Analysts had expected the index to fall to 57.1 in August.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
Commenting on the report, Rob Dobson, senior economist at Markit said, “The latest PMI data provided further evidence that the expected slowdown in the UK manufacturing recovery from its highs earlier in 2010 is underway.”
He added that, “although the intermediate and consumer sectors are cooling, the capital goods sector accelerated which suggests that investment spending is still supporting growth.”
Following the release of the data, the pound was down against the U.S. dollar, with GBP/USD shedding 0.03% to hit 1.5346.
In a report, market research group Markit said that its manufacturing purchasing managers index declined to a seasonally adjusted 54.3 in August, down from 56.9 in July, whose figure was revised down from 57.3.
Analysts had expected the index to fall to 57.1 in August.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
Commenting on the report, Rob Dobson, senior economist at Markit said, “The latest PMI data provided further evidence that the expected slowdown in the UK manufacturing recovery from its highs earlier in 2010 is underway.”
He added that, “although the intermediate and consumer sectors are cooling, the capital goods sector accelerated which suggests that investment spending is still supporting growth.”
Following the release of the data, the pound was down against the U.S. dollar, with GBP/USD shedding 0.03% to hit 1.5346.