The UK economic system was already fairly weak final yr, because of the Brexit course of, in addition to from the weakening international economic
The UK economic system was already fairly weak final yr, because of the Brexit course of, in addition to from the weakening international economic system. However, the coronavirus lock-down gave it a remaining blow, sending it diving decrease, by greater than 20% in Q2. Though, the Q2 is historical past now and the GPD quantity for June is displaying an honest rebound, though it’s not as robust as in different international locations. Beneath is the Q2 and the June GDP reviews from the UK:
- Q2 preliminary GDP -20.4% vs -20.7% QoQ anticipated
- Q1 preliminary GDP -2.2%
- GDP YoY -21.7% vs -22.3% anticipated
- Prior GDP YoY -1.7%
- Non-public consumption Q2 -23.1% vs -18.9% anticipated
- Non-public consumption Q1 -2.9%
- Authorities spending Q2 -14.0% vs +0.7% anticipated
- Authorities spending Q1 -4.1%
- Exports Q2 -22.3% vs -21.5% anticipated
- Exports Q1 Prior -13.5%
- Imports Q2 -23.4% vs -23.9% anticipated
- Imports Q2 -9.4%
- Whole enterprise funding Q2 -31.4% vs -30.0% anticipated
- Whole enterprise funding Q1 -0.3%
Slight delay within the launch by the supply. This simply confirms the largest quarterly fall in UK GDP on document because the economic system will get hit on all fronts by the pandemic. The collapse hit consumption, commerce circumstances, and funding – which we already know for essentially the most half – laborious and that led to the sharp drop in financial exercise. In any case, the market is solely targeted on the restoration so that is “outdated information” so far as issues go for the time being. Cable nonetheless sits decrease on the day round 1.3030-40, little modified.
- June month-to-month GDP +8.7% vs +8.0% anticipated
- Might GDP +1.8%; revised to +2.4%
- Index of providers +7.7% vs +8.0% anticipated
- Prior index of providers +0.9%; revised to +1.5%
Slight delay within the launch by the supply. The optimistic takeaway right here is that the UK economic system improved additional in June however ONS notes that total financial exercise within the month remains to be a sixth under its degree in February i.e. pre-virus affect. There isn’t a lot else to collect from the report right here because it simply reaffirms a modest rebound since bottoming out in April however the outlook nonetheless stays unsure transferring ahead.
There’s additionally manufacturing facility exercise knowledge launched on the similar time are as per under:
- Manufacturing manufacturing +11.0% vs +10.0% m/m anticipated
- Prior +8.4%
- Manufacturing manufacturing -14.6% vs -15.0% y/y anticipated
- Prior -22.8%
- Industrial manufacturing +8.7% vs +9.0% m/m anticipated
- Prior +6.0%
- Industrial manufacturing -12.5% vs -13.1% y/y anticipated
- Prior -20.0%
- Development output +23.5% vs +15.0% m/m anticipated
- Prior +8.2%
- Development output -24.8% vs -29.5% y/y anticipated
- Prior -39.7%