UK: Looking for a modest pullback in the January manufacturing PMI - TDS

The TDS Research Team expects the UK manufacturing PMI to show a modest decline in January, which will be released at 0930GMT today.

Key Quotes:

“GBP We’re looking for a modest pullback in the manufacturing PMI after last month’s larger nearly 2pt decline, with the index falling from 56.3 to 55.9 (mkt 56.5) in January.

The survey would likely have taken place a bit too early though to catch the most recent run-up in sterling, so if this strength holds then in next month’s survey we’ll be watching to see how manufacturers are coping with the volatility in FX.

For the January survey though, we expect to see some of the weakness in the flash Eurozone print reflected in the UK outcome.”