• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 9 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 11 days Does Toyota Know Something That We Don’t?
  • 5 days America should go after China but it should be done in a wise way.
  • 18 hours "What’s In Store For Europe In 2023?" By the CIA (aka RFE/RL as a ruse to deceive readers)
  • 10 days World could get rid of Putin and Russia but nobody is bold enough
  • 12 days China is using Chinese Names of Cities on their Border with Russia.
  • 6 hours How Far Have We Really Gotten With Alternative Energy
  • 18 hours The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 2 days Even Shell Agrees with Climate Change!
  • 3 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 13 days CHINA Economy Disaster - Employee Shortages, Retirement Age, Birth Rate & Ageing Population
Is a Deep-Sea Mining Boom Inevitable?

Is a Deep-Sea Mining Boom Inevitable?

The UN regulator overseeing deep-sea…

UK Manufacturing Faces Worst Downturn Since 2008

The UK’s manufacturing sector is engulfed in the deepest downturn since the 2008 financial crisis as market uncertainty depresses activity, a closely watched survey suggests.

According to the Chartered Institute of Procurement & Supply (CIPS) the UK manufacturing purchasing managers index (PMI) recorded 44.8 in October, with the 50 mark separating growth from contraction. Although this was an improvement on last month’s figure of 44.3, it was revised down from last week’s initial October estimate of 45.2.

This meant production fell for the eighth successive month – the longest sustained run of contraction since 2008/09.

The survey pointed to lower new orders, falling output and declining stocks of purchases. Delivery times also improved, which is normally a sign of weak demand. Exports meanwhile fell for the twenty-first successive month as firms suffered from weaker demand from Europe, China and Brazil.

“Companies are finding trading conditions difficult as they face headwinds from client destocking, market uncertainty and the impact of the cost-of-living crisis on consumer demand,” Rob Dobson, Director at S&P Global Market Intelligence, said.

Manufacturing in almost all major economies has been contracting for many months now. Slow growth in China has dented demand while consumers have increasingly prioritised spending on services rather than goods post-pandemic.

Rising interest rates are also putting cost pressures on businesses with experts suggesting the downturn has further to run. “We doubt that manufacturing output will start to recover until early next year,” Samuel Tombs, chief UK economist at Pantheon Macroeconomics said.

For the thirteenth month in a row, manufacturing firms continued cutting jobs, the survey showed, although the rate slowed slightly compared to previous months.

Inflationary pressures may be easing as selling prices decreased for the fourth time in the past five months. But Dobson said “this brighter inflation outlook comes at the cost of increased recession risk, being a symptom of the broader weak demand malaise”.

ADVERTISEMENT

By City AM

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News