September 2018 UK Markit/CIPS services PMI 3 October 2018
- Prior 54.3
- Composite 54.1 vs 53.9 exp. Prior 54.2
- Markit suggests that points to Q3 GDP of 0.4%
- Growth of business activity eases only slightly since August
- Job creation edges up to seven-month high
- Higher fuel prices lead to sharp rise in input costs
Pretty much on the money and little move in GBP.
“The service sector continued to report solid steady business growth in September which, alongside news of sustained expansions in bothmanufacturing and construction, suggests the UK economy expanded by just under 0.4% in the third quarter. “The data therefore add to signs that the economy has enjoyed robust growth since the rocky start to the year, when extreme weather disrupted business. “Brexit worries continue to dominate the outlook, however, keeping business optimism firmly anchored at levels which would normally be indicative of an imminent slowdown. Clarity on Brexit arrangements is therefore needed as soon as possible to help sustain growth. “In a month during which oil prices spiked higher, it was no surprise to see cost pressures intensify, meaning consumer price inflation will have likely continued to run at a pace above the Bank of England’s 2% target in September, and will likely remain closer to 3% than 2% in coming months” Says Markit’s Chris Williamson.