The UK comprehensive purchasing managers index (PMI) compiled by S&P Global and the Chartered Procurement and Supply Association shows that UK economic activity has contracted the fastest in nearly two years in October this year.
The Financial Times analyzed on the 24th that this shows that under the interweaving of political uncertainty and high energy and borrowing costs, the British economy has fallen into recession.
The above index shows that the activity of the private industry fell to 47.1 in October, a new low in 21 months. This figure was 49.1 in September.
This is the third consecutive month that the index has fallen below 50. The Financial Times believes that this indicates that most British companies have contracted economic activity. October data was also lower than 48.1 predicted by Reuters in a previous survey of economic analysts.
Chris Williamson, chief corporate economist at S&P Global Market Finance Intelligence, said that the October UK PMI data showed that after recent political uncertainty and financial market turmoil, "the economic downturn is accelerating."
Williamson said the UK economy may continue to shrink in the third and fourth quarters, which "means that the UK economy is in recession."
According to the latest official data, in the three months ended August, UK economic output fell by 0.3% month-on-month.
The above survey results also show that the number of new orders has declined at the fastest since January 2021.
Manufacturing orders were particularly impacted, with the decline in export sales hitting the fastest record in nearly two and a half years.
The latest data released by the British market research firm Deloitte shows that the continued high inflation forces many families to be careful in their budgets and reduce their spending. UK Consumer Confidence Index has dropped to the lowest point since the institution began statistics in 2011.
Williamson said that although price pressures have eased due to economic downturn, weakening of the pound and high energy prices mean that imported inflation is still higher than the historical records of the survey before the outbreak of the new crown epidemic.
Ashley Webb, an economist at CITIC International Macroeconomic Consulting Corporation, said inflationary pressure means that the British central bank Bank of England has "little choice" except for continuing to raise interest rates.
market expects Bank of England will raise interest rates by 75 to 100 basis points next week.
is unique, and the PMI in euro also dropped to 47.1 in October. The Financial Times believes that shows that the pressure of the recession spreads throughout Europe.
Producer: Duan Shuang
Editor-in-chief: Yan Guanchao
Review: Wang Luping
Editor: Weishuli
Source: China Central Radio and Television Station CCTV News Client
◆ "The first encounter in 9 years"! US think tanks evaluate US military: Weak
