UK: Downside risks to services PMI - TDS

Research Team at TDS, suggests that while Wednesday’s manufacturing PMI surprised on the upside, we still don’t think that the services PMI has fully incorporated worries over the upcoming referendum, a sentiment foreshadowed by Thursday’s construction PMI.

Key Quotes

“We see downside risks to the market consensus of a slight uptick to 52.5, and expect the services PMI to fall about half a point to 51.8. Further anxieties over the retail sector (eg, from the BHS bankruptcy) will contribute to this souring in sentiment.”