Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

U.K. services PMI falls to more than two-year low of 55.6 in August

Published 09/03/2015, 04:34 AM
Updated 09/03/2015, 04:34 AM
© Reuters.  U.K. services PMI falls to more than two-year low in August

© Reuters. U.K. services PMI falls to more than two-year low in August

Investing.com - U.K. service sector activity expanded at the slowest rate in more than two years in August, dampening optimism over the health of the economy and dimming prospects for higher interest rates, industry data showed on Thursday.

In a report, market research group Markit said the seasonally adjusted Markit/CIPS Services Purchasing Managers Index declined to 55.6 last month from a reading of 57.4 in July. Analysts had expected the index to rise to 57.6 in August.

On the index, a level above 50.0 indicates expansion in the industry, below 50.0 indicates contraction.

Growth of business activity moderated for the second month running, primarily as a result of the slowest increase in new business since April 2013.

Commenting on the report, Chris Williamson, Chief Economist at survey compilers Markit said, “The economy looks set to grow by 0.5% in the third quarter, down from 0.7% in the three months to June."

GBP/USD was trading at 1.5257 from around 1.5261 ahead of the release of the data, while EUR/GBP was at 0.7366 from 0.7359 earlier.

Meanwhile, European stock markets remained higher. London’s FTSE 100 rose 1.6%, the EURO STOXX 50 rallied 1.3%, France's CAC 40 advanced 1.35%, while Germany's DAX climbed 1.6%.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.