Latest data released by Markit - 1 July 2019
- Prior 49.4
That's a rather poor reading as the manufacturing sector contracts yet again in the UK, with the headline print hte lowest since February 2013. Of note, the output component falls to 47.2 from 50.3 back in May and that's the lowest reading since October 2012.
The data here sees the pound fall further with GBP/USD dropping to a low of 1.2645 now testing near-term support around the region of 1.2645-50.
If you're wondering what is causing such a sharp downturn in manufacturing activity in the UK, do check out this post I made back in April. What we're seeing now is the continued disruption in the supply chain and that's resulting in the backlash from the bullwhip effect towards the economy as a whole.
