UK manufacturing production slumps, trade deficit widens
U.K. manufacturing production unexpectedly dropped in May, raising concerns about the pace of growth in the second quarter.
Manufacturing production slumped 0.2 from April, missing forecasts of 0.5 percent increase, and industrial production edged down 0.1 percent in May, following a 0.2 percent surge in April.
“Transport equipment provided the largest downward contribution, falling by 2.3%; within this, motor vehicles, trailers and semi trailers fell by 4.4%, the largest fall since February 2016, when it fell by 5.8%,” the ONS said.
Another report showed that construction output dipped 1.2 percent in May after a revised 1.1 percent fall a month earlier. Analysts had predicted a 0.6 percent increase.
U.K. goods trade deficit widened to 11.9 billion pounds in May from a revised deficit of 10.6 billion pounds in April, as imports soared more than exports.
As of 09:11 GMT, the British
pound slide to 1.2916 versus the U.S. dollar, compared to the session’s open at