UK’s double dip recession is over, according to economists who say official figures on Friday from the services sector show the economy rebounded during the second half of the summer.
But they warn that the economy is likely to continue its stumbling path in the runup to Christmas and into the new year following a string of surveys that showing the UK’s major trading partners struggling against strong economic headwinds.
The Office for National Statistics said its monthly index of services revealed output from the sector growing by 1.1% in July. The jump in activity is expected to offset a further decline in construction output and a manufacturing industry hit by lower levels of exports when figures for third quarter GDP are published on 25 October.
A positive GDP figure for the third quarter will put an end to nine months of recession that have undermined confidence in the government’s handling of the economy.
George Osborne has come under intense pressure to drop austerity measures in favour of a stimulus package to revive growth.
via Guardian
Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.
Alfonso Esparza
trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Latest posts by Alfonso Esparza (see all)
- Market Rally Still Going Low Holiday Volumes Awaiting Start of 2020 - 27 December 2019
- Market Awaits China Retaliation on Trade - 29 November 2019
- Alibaba to Close Order Book Ahead of Huge IPO - 18 November 2019