UK Factory Downturn Shows More Signs Of Easing- PMI

• Britain's manufacturing sector demonstrated signs of potential recovery, as indicated by the S&P Global/CIPS manufacturing Purchasing Managers' Index (PMI) rising to 47.2 in November from 44.8 in October.
• Despite the improvement, companies in the manufacturing sector remained cautious. Ongoing market uncertainty and the need to control costs led to measures such as job losses, stock depletion, and reduced purchasing.
• The severity of the downturn in the manufacturing sector eased, as reflected in improved readings for output and new orders, based on the PMI data. However, while input costs decreased, manufacturers raised their selling prices for the second time in six months, albeit marginally.
• This move aimed to repair profit margins, and it comes as the Bank of England monitors price pressures in the economy, having maintained interest rates at a 15-year high in September and November. The central bank has indicated a reluctance to consider rate cuts until there is sufficient easing in underlying inflation.

(Source: Reuters)