Economic Buzz: UK Manufacturing PMI At 48.4 In September

3 Oct 2022 , 04:54 PM

September saw the downturn in UK manufacturing output extend to three months, as companies cutback production in response to declining new order intakes. There was less positive news on the price front as well, with rates of inflation for input costs and output charges both accelerating. The seasonally adjusted S&P Global / CIPS UK Manufacturing Purchasing Managers Index? (PMI?) posted 48.4 in September, up from 47.3 in August but below the flash estimate of 48.5. Manufacturers linked lower production to a reduction in new work intakes. The level of new business declined for the fourth month running, albeit to a slightly weaker extent than in August. Companies faced tougher conditions in both domestic and export markets. There were also reports of expected orders being postponed, or cancelled, due to factors such as rising uncertainty, inflationary pressure and the cost-of-living crisis. September saw new export business contract at the quickest pace since May 2020, with reports of lower demand from the US, the EU and China. Powered by Commodity Insights