UK Industrial Order Expectations fall Slowdown Still to Persist

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Investment market volatility and currency exchange remains a challenge. The global economics are volatile and unprecedented in history. Currency exchange continues to concern expats with UK Pensions,income drawdown now including flexible pensions, a QROPS and QNUPS (Qualifying non UK Pension schemes).
Data on Wednesday showed UK industrial order expectations had fallen more than expected in July. In a report by the Confederation of British Industry, industrial order expectations declined to – 10.0 in July, compared to a 1.0 reading back in June. Analysts had expected a decline in July to – 3.0 in July. A reading above 0.0 indicates increasing order volume is expected, whilst below indicates expectations are for lower volume.
For the first time in two years, optimism regarding the general business situation fell among UK manufacturers and expectations of slower activity are driving a reappraisal of forwardlooking business plans. Growth in total orders and production eased slightly in the three months to July and manufacturers expect a further deceleration over the next quarter.
Commenting on the report, Ian McCafferty, CBI Chief Economic Advisor, said “This slowdown is expected to persist into the third quarter. How far the slowdown will be borne out is yet unclear, but the combination of political and economic uncertainty is sapping confidence.” Over in the USA, official data showed that US durable goods also fell unexpectedly in June. The Commerce Department said durable goods orders dropped 2.1%, led lower by a decline in orders for transportation equipment, after a 1.9% increase in May. Analysts had expected orders to rise by 0.4% in May. Excluding transportation, orders edged up 0.1% after gaining 0.7% in May.