Britain GDP Figures Expected to Be Weaker
World Economy

Britain GDP Figures Expected to Be Weaker

The pressures on the UK economy from EU referendum jitters and a downturn in global trade will be revealed this week with the publication of official UK growth figures due on Wednesday.
Nervous investors and policymakers are also keenly awaiting GDP updates from the US and eurozone to gauge the scale of a global slowdown that has prompted wild swings on stock markets in recent months and warnings from the International Monetary Fund that governments need to step up public investment to avert a slump, Reuters reported.
The UK figures are expected to show a marked slowdown in growth after business surveys have pointed to companies delaying spending and hiring ahead of the Brexit vote. Official figures showing a drop in retail sales last week suggested consumers, the main drivers of the UK’s post-crisis recovery, were also cutting back as pay growth flat-lines and government spending cuts bite.
Economists anticipate that those factors dented the economy’s overall performance in the first quarter, cutting the GDP growth rate to 0.4% from 0.6% in the final three months of 2015, according to the consensus forecast in a Reuters poll.
Economists at HSBC are more downbeat than the consensus and they forecast the growth rate halved in the first quarter to 0.3%.
 “All the signs are that growth slowed in the first quarter,” they wrote in a research note.
They cite last week’s news of a sharp fall in retail sales in March, downbeat surveys from the wider services sector and a drag on the economy from manufacturing and the oil and gas sectors.
Philip Shaw, economist at Investec is expecting a “mixed picture” from the UK economy.

Short URL : http://goo.gl/ezzNol
  1. http://goo.gl/NWQ5hs
  • http://goo.gl/20QdpQ
  • http://goo.gl/d0y1Wu
  • http://goo.gl/gq8fJj
  • http://goo.gl/ZzPp8U

You can also read ...

BMW Seeking Broader China Collaboration
The opening-up is an important policy and German carmaker BMW...
Argentina Lacks Options to Defend Peso
With interest rates sky-high and the economy heading for...
Westinghouse Electric, the leading US nuclear fuel producer, said it relies on China for zirconium and zirconium powder  for use in nuclear fuel assemblies
A broad cross-section of US businesses has a message for the...
Turkey, Qatar in Currency Swap Deal
The central banks of Qatar and Turkey signed a currency swap...
Vehicle loans have rapidly expanded as cars purchased during a tax rebate scheme for first cars  in 2012-13 have begun to be replaced.
Consumer borrowing is accelerating significantly in Thailand...
Asian Countries Vie to Set Up Crypto Valleys
The race to establish cryptocurrency hubs in Asia is gathering...
UK Business Pessimism Rising
Business leaders’ confidence in the British economy has fallen...
International Labor Organization has called for stronger...