After a busy week on the data front, including GDP, productivity and labour market data, we have a quieter week ahead, with our main focus being on the manufacturing PMI.
On Thursday we will get the latest instalment of Markit/CIPS’s manufacturing PMI, with this week’s release giving us an indication of how manufacturing activity fared in February. Last time round, the indicator fell to a six month low, down from 56.2 to 55.3. Despite the fall, this was a healthy reading, well above the long run average (51.7) and 50 no-change mark. In fact this represented the 18th consecutive month the indicator has recorded an expansion since the post referendum slump. With the global economy still ticking along at a healthy notch, as well as supportive trading conditions boosting exports, we expect another healthy reading this month.