Activity in the U.K.’s manufacturing sector slowed in December, having posted the fastest growth in over four years the previous month, a closely watched survey showed Tuesday.
Financial information firm IHS Markit Ltd. said its purchasing managers index for the manufacturing industry fell to 56.3 in December, down from 58.2 a month earlier. The 50-point line separates expansion from contraction in activity.
The December figure was below the expectations of analysts polled by The Wall Street Journal, who forecast a reading of 57.9.
While growth of output and new orders moderated in the final month of the year, rates of expansion remained comfortably above long-term trend rates, Rob Dobson, director at IHS Markit, said.
Input and output inflation also slowed, signaling that the recent surge in price growth–spurred by the pound’s collapse in the wake of the Brexit vote–is beginning to abate.
Source: Dow Jones