UK Construction PMI Rose to 52.5 in April
Published May 02, 2018 04:31AM ET
Investing.com - Activity in the UK construction sector rose at the fastest pace in five months in April, according to a closely watched business survey released on Wednesday, brightening the economic outlook for the second quarter.
Research firm Markit said its construction purchasing managers’ index to rose to 52.5 in April, compared to forecasts for a reading of 50.5.
The prior month’s reading was 47.00, which was a 20 month low.
Residential work was by far the best performing category of construction activity in April, with the rate of growth reaching its strongest since May 2017 as house building activity resumed following snow disruptions in March.
Weather-related improvements were also seen for commercial building and civil engineering activity, with both areas recording a modest return to growth after marked declines in the previous month.
“A rebound in construction activity was pretty well inevitable after snowfall resulted in severe disruptions on site during March," said Tim Moore, associate director at survey compiler Markit.
“While temporary factors make it difficult to gauge underlying momentum, the recovery from March’s low point is somewhat underwhelming and provides an indication that the construction sector has been treading water at the very best in recent months."
The report came a day after a similar survey showing that activity in the UK manufacturing sector grew at the slowest pace in seventeen months in April.
The report saw investors slash expectations for a rate hike from the Bank of England at its upcoming meeting next week after overall economic growth slowed to near stagnation in the first quarter.
Get The News You Want
Written By: Investing.com
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.