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1 Apr 2015
UK consumers driving the recovery of the economy – TDS
FXStreet (Barcelona) - The TD Securities team sees domestic demand in the UK as the driving factor behind the recovery in the UK economy.
Key Quotes
“The manufacturing PMI rose from 54.0 to 54.4 in March, exactly in line with consensus expectations.”
“The details of the survey looked pretty good too, and were in line with what we saw in the Eurozone data with lots of 'highest since' Q2-Q3 last year for the subcomponents.”
“Domestic demand is still the driving factor behind new orders, although there was a "modest increase" in overseas demand. Consumer goods recorded "by far the steepest growth rates for both output and new business" out of the 3 groups that the survey covers.”
“So seems like UK consumers are doing what everyone assumed the US consumers would be doing (but haven't) in using the increase in real wage growth to help drive the recovery.”
Key Quotes
“The manufacturing PMI rose from 54.0 to 54.4 in March, exactly in line with consensus expectations.”
“The details of the survey looked pretty good too, and were in line with what we saw in the Eurozone data with lots of 'highest since' Q2-Q3 last year for the subcomponents.”
“Domestic demand is still the driving factor behind new orders, although there was a "modest increase" in overseas demand. Consumer goods recorded "by far the steepest growth rates for both output and new business" out of the 3 groups that the survey covers.”
“So seems like UK consumers are doing what everyone assumed the US consumers would be doing (but haven't) in using the increase in real wage growth to help drive the recovery.”