Friday, June 3, 2011

Manufacturing growth hits 20-month low

Source: Press TV

Britain's manufacturing sector has registered its poorest performance in almost two years in May fueling worries that the economic growth would plateau in the coming months.

The Markit/CIPS UK manufacturing purchasing managers' index (PMI) dropped to 52.1 last month from 54.4 in April recording its worst figure since September 2009. Readings above 50 suggest the economy is growing though moderately in May.

"The UK PMI suggests that manufacturing has moved from rapid expansion to near stagnation," said Rob Dobson, senior economist at Markit.

The slowing trend comes despite the manufacturing sector being one of the best performing since the recession.

"Domestic market weakness was the main drag on order books and output," Dobson added, pointing to the bank holidays for the royal wedding as a possible deteriorating factor for production.

The new figures has led to warnings by analysts who said the Treasury hopes of stronger performance in the second quarter may be too optimistic.

"We're looking at an economy that doesn't appear to be generating a huge amount of momentum, and on the back of the weakness of the first quarter, that's not a good place to be," said Peter Dixon, the chief UK economist at German bankinig giant Commerzbank.

A second purchasing managers' index is expected to be announced on Friday from the services sector, which makes up almost 70 percent of the British economy.

No comments:

Post a Comment

Thanks for commenting on this post. Please consider sharing it on Facebook or Twitter for a wider discussion.

Russia Today (Live)

World News 2017

South Front Military Review 2017

Syria - News 2017

US News 2017

The Russian Perspective

Debate – Global Issues 2017

Current Affairs - Important Interviews – 2017

Important Information 2016 - 2017

Yemen News 2017

Turkey News 2017

Ukraine News 2016 - 2017

Palestine & Israeli Crime 2017

Iraq News 2017

Iran News 2016 - 2017

Important Documentaries

Viewpoint, Discussion & Opinion - 2017

Abby Martin – Empire Files

Global Economic News 2017

Egypt News 2016 - 2017

Libya News 2016 - 2017

Bahrain News 2016 - 2017

Sheik Imran Hosein - Islamic Eschatology

George Galloway – Comment & Opinion

English FA Cup 2016 – 2017

New Age Weather

Space News

Music for the Revolutionary Mind

Global Revolution LIVE!

Watch live streaming video from globalrevolution at

Japan’s 3 Nuclear Meltdowns STILL ongoing (News Censored)