Mixed UK economic data shows sectoral weakness despite a 0.7% three-month upturn, clouding Q2 GDP expectations.
The UK economy posted a 0.7% expansion in the three months to May, outpacing the Eurozone’s 0.4% Q2 GDP growth. However, monthly figures reveal contractions in production and construction, offset only partially by a 0.3% rise in services for May.
Recent composite PMIs for May and June signaled contraction, adding to uncertainty ahead of the upcoming GDP release. Economists’ forecasts now span a wider range, reflecting conflicting signals amid geopolitical tensions and confidence concerns.
Markets face a murky outlook as mixed data complicates assessments of UK economic resilience relative to peers.