Friday, July 03, 2009
All-sector PMI up - housing equity withdrawal even more negative
Posted by David Smith at 10:00 AM
Category: Thoughts and responses

The service sector purchasing managers' index slipped to 51.6 in June from 51.7 in May but remains consistent with expansion in the sector. Indeed, according to Markit, which produces the data, the June PMIs signal growth for the economy as a whole.

"A weighted combination of the output indices from the three PMI surveys that are conducted by Markit in the UK in association with CIPS shows that the output of the three sectors increased for the second successive month in June. At 51.0, up from 50.4 in May, the ‘all sector’ index also indicated a modest acceleration in the rate of growth to the fastest since March 2008."

Also out, figures from the Bank of England showing that housing equity withdrawal was negative by £8.1 billion, 3.5% of post tax income, in the first quarter. A year earlier HEW was positive to the tune of 2.9% of income. The release is here.