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2 Apr 2014
UK construction firms report brightest outlook since January 2007
FXStreet (London) - Despite the index showing a slight decline on the first two months of the year, the Markit/CIPS UK Construction Purchasing Managers’ survey reported that UK construction firms have the brightest outlook for business activity since January 2007.
The seasonally-adjusted March construction PMI posted 62.5 in March, little changed from 62.6 in the previous month but lower than the near six-and-a-half year high recorded during January (64.6). The print came in below consensus expectations of a slight gain to 63.0, and follows the momentum of yesterday’s manufacturing PMI report which showed a strong outlook despite a decline in the index.
New business growth slows
According to Markit, March data signalled a strong overall performance for the UK construction sector, with sharp rises in activity and employment maintained during the survey period. Although new business growth slipped to a six-month low, construction firms remain highly upbeat about the prospects for output over the year ahead. Reports of improving underlying demand and more favourable business conditions helped business optimism reach its highest level since January 2007.
UK construction activity has remained in expansionary territory for 11 months in a row (>50.0).
The seasonally-adjusted March construction PMI posted 62.5 in March, little changed from 62.6 in the previous month but lower than the near six-and-a-half year high recorded during January (64.6). The print came in below consensus expectations of a slight gain to 63.0, and follows the momentum of yesterday’s manufacturing PMI report which showed a strong outlook despite a decline in the index.
New business growth slows
According to Markit, March data signalled a strong overall performance for the UK construction sector, with sharp rises in activity and employment maintained during the survey period. Although new business growth slipped to a six-month low, construction firms remain highly upbeat about the prospects for output over the year ahead. Reports of improving underlying demand and more favourable business conditions helped business optimism reach its highest level since January 2007.
UK construction activity has remained in expansionary territory for 11 months in a row (>50.0).