UK: Expansion of output and new orders slowing - TDS

TD Securities analysts’ note that the UK’s PMI came in at 53.1 in April as expected, falling 2 points in the shadow of the 29th March Brexit deadline, but remaining in decent expansion territory.

Key Quotes

“Details of the report showed expansion of output and new orders slowing, and export orders declined at their second-fastest pace in 4.5 years, which should come as no surprise as EU firms had likely finished building their pre-Brexit stockpiles.”

“Domestically, stockbuilding still expanded, but at a lesser pace than in previous months. Employment in the sector declined for the third time in the last four months, but at a fairly mild pace.”