UK DATA: This week is a working day shorter due to Monday’s June Bank
Holiday. Markit/CIPS PMI for Manufacturing will be released on Wednesday,
Construction on Thursday and Services on Friday. The May numbers will of
course be mined for any sign that activity is rebounding in Q2. The BOE
MPC will need to see the latter if the recent message in the Inflation
Report that the first rate hike could come in August is to be borne out.
Other data next week includes the BOE’s monthly lending/credit report.
Earlier releases from the British Bankers Assoc. suggest that mortgage
approvals and lending will continue their lackluster – if not moribund
– recent trend. New construction orders on Friday will highlight an area
which has become surprisingly key in assessing the state of UK
growth, given its volatility and the question marks over whether the NS
was correct in its assessment that this sector was weak through Q4 and
Q1 of this year.