(CercleFinance.com) – The British economy seems set to contract in the third quarter, given the preliminary results of the latest survey by S&P Global and CIPS.
The country’s composite PMI index, which includes the manufacturing and services sectors, fell to 47.9 in August, from 50.8 in July, falling below the 50-point threshold indicative of a contraction. of the activity.
This is its lowest level in more than two and a half years.
At 48.7 from 51.5 last month, the ‘flash’ PMI for services also slipped into contraction territory, while the sector has held up quite well so far.
That of the manufacturing industry meanwhile plunged to 42.5 this month, the lowest in more than three years, against 45.3 in July, confirming the recurring difficulties of the sector.
For Chris Williamson, chief economist at S&P Global Market Intelligence, these figures are consistent with the scenario of a 0.2% contraction in the country’s gross domestic product in the July-September quarter.
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