London, MNI – UK industrial orders picked up sharply in February,
rising to their highest level since August last year and far surpassing
analysts’ expectations, the CBI said today.

The February total orders balance came in at -3, up from -16 in
January. Analysts’ median forecast was that total orders would rise to
-14 from January’s -16.

The CBI said orders were now back at “normal levels,” which they
put at a -3 to 3 range, for the first time since last August. Output
price expectations eased a little.

Ian McCafferty, CBI chief economic adviser, said “The improvement
in manufacturing conditions seen in January has been sustained this
month. Both domestic and overseas demand have strengthened,
underpinning solid expectations for output growth, which is encouraging
news.”

The CBI’s January survey had shown some improvement for the sector.
The January total orders balance improved to -16 from -23 in December,
while the output volume balance rose to 15 from -8. The expected prices
balance rose to 13 from 7.

— London newsroom: 207 862 4791; e-mail: drobinson@marketnews.com

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