UK Service PMI Falls Below Expectations in January

Growth in Britain’s service industries slowed last month, but firms became more confident, stepping up hiring and raising wages after an increase in new business.

The services purchasing managers’ index (PMI) from Markit/CIPS slipped more than economists expected, to 56.7, from 57.2 in January.

Vicky Redwood, chief UK economist at Capital Economics, described the fall as “a bit of a disappointment, but hardly a disaster”.

Rob Wood, chief UK economist at Berenberg bank, said: “Despite a small dip, the UK services PMI points to strong growth.”

In the eurozone, Markit’s composite PMI, which measures services and manufacturing activity, suggests the bloc’s economy is on course to growth by 0.3% in the first quarter, the fastest rate in seven months. Bailed-out countries Spain and Ireland continue to enjoy the fastest expansion.

via The Guardian

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza