CBI's industry index for UK shows rally in export orders
Manufacturers in Britain reported the balance of total orders was unchanged at 8% last month, with 25% of respondents saying they were above normal, the Confederation of British Industry said on Tuesday. Still, the results of the Industrial Trends Survey showed a rebound of 20 points in new contracts for shipments overseas. The balance, at 10%, is the highest since December 2013.
The measure of industrial output in the United Kingdom rose to 23% and matched the level last seen in July 2014, the report revealed. Furthermore, the expectations for growth in the following three months improved to 36%, the highest in 22 years.
"The past fall in the pound seems finally to be helping lift demand for UK manufactured exports, which rose at one of the fastest paces in this survey’s history... But the flipside is that cost pressures are widespread, and manufacturers expect factory-gate prices to continue to rise strongly over the next three months," said Anna Leach, CBI's head of economic intelligence.