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2 Jan 2015
UK production registers its 2nd-slowest growth in past 1-1/2 year – TDS
FXStreet (Barcelona) - The TD Securities Team reviews today’s data releases, noting that the UK PMI was highly disappointing with the new orders and production both easing to their second-slowest growth in the last 1-1/2 year.
Key Quotes
“EUR Today’s Eurozone manufacturing PMI data was generally disappointing. The initial prints for Italy and Spain both surprised to the downside by just over 1pt each, deteriorating from their November readings, while the final print for France was revised 0.4pts lower. So the manufacturing sector did not have great momentum into 2015.”
“GBP The manufacturing PMI slipped from a downwardly-revised 53.3 to 52.5, disappointing the consensus forecast and our forecast for the index to edge a tenth or two higher. The details of the UK PMI report didn’t show any big surprises.”
“New orders and production both eased to their second-slowest growth rates in the last year and a half, but they are both still expanding. And with new orders it's the same old story with most of the demand coming from the domestic market.”
“Employment was slightly stronger, with the rate of job growth little changed from November's 4m high. So everything here points to further growth for the manufacturing sector, but at a slower rate than what we saw in 2014.”
“SEK The manufacturing PMI rose from 52.7 to 55.4 in December, beating consensus for an essentially unchanged reading of 52.6. While the manufacturing confidence measure pulled back during the month, the PMI seemed to follow instead the better Eurozone and particularly German survey data.”
Key Quotes
“EUR Today’s Eurozone manufacturing PMI data was generally disappointing. The initial prints for Italy and Spain both surprised to the downside by just over 1pt each, deteriorating from their November readings, while the final print for France was revised 0.4pts lower. So the manufacturing sector did not have great momentum into 2015.”
“GBP The manufacturing PMI slipped from a downwardly-revised 53.3 to 52.5, disappointing the consensus forecast and our forecast for the index to edge a tenth or two higher. The details of the UK PMI report didn’t show any big surprises.”
“New orders and production both eased to their second-slowest growth rates in the last year and a half, but they are both still expanding. And with new orders it's the same old story with most of the demand coming from the domestic market.”
“Employment was slightly stronger, with the rate of job growth little changed from November's 4m high. So everything here points to further growth for the manufacturing sector, but at a slower rate than what we saw in 2014.”
“SEK The manufacturing PMI rose from 52.7 to 55.4 in December, beating consensus for an essentially unchanged reading of 52.6. While the manufacturing confidence measure pulled back during the month, the PMI seemed to follow instead the better Eurozone and particularly German survey data.”