-UK May CIPS Services PMI 53.3; Unchanged Versus April – Markit/Reuters
LONDON (MNI) – The UK services sector posted firm growth in May,
fueling doubts that the Bank of England’s Monetary Policy Committee will
be pushed into providing further stimulus in its midday decision.
The headline May services PMI came in unchanged at 53.3, above
analysts’ median forecast for a 52.5 outturn and well above the 50
contraction/expansion level. The Bank of England was handed this data
last week, allowing the Monetary Policy Committee plenty of time to
factor it into Thursday’s 1100 GMT policy decision.
The CIPS services data follow May’s manufacturing index which saw
the second steepest monthly fall in its history, which plunged deep into
contractionary territory at 45.9. That data was widely cited as raising
the chances of further easing from the MPC, with analysts stressing the
key was whether the dominant services sector followed manufacturing
down.
–London newsroom 0044 207 862 7491; email: drobinson@marketnews.com
[TOPICS: M$BDS$,MABDS$]
