IHS Markit: Purchasing managers' index rose by 1.4 points to 50.4 points in December
The mood in the UK economy did not brighten as much at the end of last year as previously thought. The purchasing managers index of IHS Markit rose in December by 1.4 points to 50.4 points, as the research company announced on Wednesday in London after a second estimate. Analysts had expected a confirmation of the initial estimate of 50.7 points on average.
The sentiment data from the services sector, which Markit also published, was disappointing. The index value for December rose by 1.8 points to 49.4 points. Analysts had expected a confirmation of the initial estimate of 49.9 points.
With more than 50 points, the sentiment barometer for the entire British economy is above the limit that separates growth from contraction. The service sector in particular was hit by the new restrictions in the corona crisis.
Markit also refers to special factors before Great Britain leaves the European single market. Many companies have bought intermediate products and increased their stocks. Customers from the European Union would also have preferred orders. It was only at the end of December that the EU had agreed on a Brexit trade agreement with Great Britain and thus averted a severe break in trade relations.
