1020 GMT - The U.K. manufacturing sector continued to record modest growth in September, although rising energy costs due to the Middle East conflict threaten to weaken the outlook, Matt Swannell at the ITEM Club says in a note. The S&P Global manufacturing PMI edged up to 51.9 in September from 51.7 in August, with new orders remaining relatively healthy. But challenges are likely to gather pace, with the sector expected to lose momentum ahead, Swannell says. "Demand for consumer goods will cool as the resilience we've seen in the retail sector fades and consumers' spending is squeezed by rising inflation." Elevated energy prices are likely to persist through the first half of next year, pushing up manufacturing costs and goods inflation, Swannell adds.
At the request of the copyright holder, you need to log in to view this content
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.