Factory growth in the UK for November eased from an unexpected surge in manufacturing activity in the previous month, according to a Markit survey report released just now. In other important news, the Bank of England (BoE) earlier today assured that Britain’s banking system was strong enough to support the economy in a severe global stress scenario.In Europe, the final survey results indicated that Euro zone manufacturing sector extended a tepid recovery in November as the European Central Bank (ECB) prepares to unleash further stimulus measures at its policy meeting this week to ensure that momentum continues to build. Another set of manufacturing activity growth data is scheduled in the US later today.
In a start to a new week, the just released data showed that UK net consumer credit continued to grow and mortgage approvals for house purchases edged up though slightly below estimates for October. The strength of the UK economy could be in greater focus in the coming days, as investors brace themselves for a raft of data such as the UK manufacturing PMI survey, services PMI, construction data and house prices report for November.Across the Atlantic, Chicago PMI, manufacturing activity data in the Dallas region and pending home sales are due for release later today. Earlier today, German retailers were reported to have had a disappointing start to the important Christmas-shopping season. Investor focus is on the European Central Bank (ECB) rate decision this week.
Today is another light day for economic releases across the globe, though the second estimate of Britain’s third quarter GDP figure published just now is likely to have stirred some market interest. UK’s growth rate for the three months ended September was left unrevised suggesting a moderation in economic growth from the previous quarter. Today’s GDP update has come just two days after the UK Chancellor, in the Autumn Statement, had projected higher economic growth in 2016.Across the Atlantic, the economic calendar is once again empty as US currency traders are away on an extended break. In Europe, with only little in terms of second tier economic updates, market focus will shift towards next week’s main highlight – the European Central Bank (ECB) monetary policy meeting.