UK’s manufacturing PMI in June

The UK’s manufacturing PMI recorded a weaker improvement in June 2017. It stood at 54.3 in June compared to 56.3 in May. Still, it’s far above the market expectation of 56.5.

Did the UK Election Affect Manufacturing in June?

The weaker improvement in the UK (EWU) manufacturing PMI was mainly due to slower expansion in production activity. New orders and export orders also rose at a weaker pace in June. Demand from both domestic and international clients (ACWI)(VT) slowed.

UK election

After the UK’s general election on June 8, 2017, Prime Minister Theresa May’s Conservative party lost its majority, creating instability. This change dragged the consumer confidence index down in June. The consumer confidence index stood at -10 in June, compared to -5 in May.

The iShares MSCI United Kingdom ETF (EWU) tracks the performance of the United Kingdom. It fell nearly 1.6% in June 2017. The UK’s FTSE 100 index fell nearly 2.3%. The fall in the major index and ETF signals that investors become worried about the UK economic environment after the election.

In the next part of this series, we’ll analyze the performance of US non-farm payrolls in June 2017.

Latest articles

Last week (ended August 16) was rough for Canopy Growth (WEED)(CGC) stock. It fell about 14% after the company's fiscal 2020 first-quarter earnings report.

Apple shares rose close to 3% in early hour trading on Monday. So, why is Apple stock trading higher? The market sentiment might have turned positive.

Huawei plans to launch its own mapping service as soon as this October. But Huawei’s Map Kit will initially not be a consumer mapping service.

Ford stock fell 5.2% last week. The fall extended the stock’s decline to 13.3% since its second-quarter results on July 24.

In April, Amazon announced its plan to transform its free two-day shipping program to a free one-day shipping program for its Prime customers.

Cannabis companies face regulatory challenges. Recently, CannTrust (CTST) didn't comply with Health Canada’s regulations.