Domestic Demand in United Kingdom
United Kingdom - Domestic Demand
The economy flatlines in August, data for June and July revised upward
According to monthly GDP data released by the Office for National Statistics (ONS), economic activity was unchanged in August over the prior month in seasonally-adjusted terms, undershooting market analysts’ expectations of 0.1% growth. However, the expansion for June-August was larger than expected at 0.7%, thanks to upward revisions to GDP data for June and July. Looking at a sector-by-sector picture, in August the services sector was stagnant, while industrial production expanded and construction and agriculture declined.
Taking GDP data for July and August together suggests a robust GDP outturn in Q3, with the economy buoyed by warm weather boosting consumer spending. However, James Smith, Developed Markets Economist at ING, cautions that headwinds are likely to build in the final quarter: “Sunny weather has given UK growth a much-needed boost over the summer, but the combination of Brexit uncertainty and consumer caution suggests the economy faces a challenging autumn and winter”.
UK GDP Forecast
The Central Bank expects the economy to expand 1.4% in 2018 and 1.8% in 2019. Met the why particular panelists are less optimistic and expect GDP to expand 1.3% in 2018 and 1.4% in 2019.
United Kingdom - Domestic Demand Data
|Domestic Demand (annual variation in %)||2.7||3.6||2.4||2.2||1.4|
5 years of economic forecasts for more than 30 economic indicators.
United Kingdom Facts
|Bond Yield||1.47||-3.04 %||Oct 16|
|Exchange Rate||1.32||-0.35 %||Oct 16|
|Stock Market||7,059||-0.26 %||Oct 16|
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October 11, 2018
According to monthly GDP data released by the Office for National Statistics (ONS), economic activity was unchanged in August over the prior month in seasonally-adjusted terms, undershooting market analysts’ expectations of 0.1% growth.
October 11, 2018
Industrial production increased 0.2% in August over the prior month according to the Office for National Statistics, down from July’s revised 0.4% rise (previously reported: +0.1% month-on-month).
United Kingdom: The services sector softens slightly in September while the manufacturing sector picks up
October 3, 2018
In September, growth in the UK services sector lost some steam, with the IHS Markit/CIPS UK services Purchasing Managers’ Index (PMI) dipping to 53.9 from 54.3 in August.
September 30, 2018
According to the Nationwide Building Society (NBS), house prices in the United Kingdom rose 0.3% in September compared to the previous month in seasonally adjusted terms, contrasting August’s 0.5% decline.
September 28, 2018
The GfK NOP consumer confidence indicator fell from minus 7 points in August to minus 9 points in September.