Research Team at TDS, suggests that the UK’s May manufacturing PMI surprised to the upside, pushing back into expansion territory to 50.1, after falling below 50 in April for the first time since early 2013.

Key Quotes

“Components of the survey suggested production and new orders were broadly unchanged, but there were some signs of a pickup in new domestic orders as new export orders fell for the fifth consecutive month.

The exchange rate was cited as a “challenge” to manufacturers, as was softer global economic growth. The investment goods industry continued to languish, with some growth reported in the intermediate and consumer goods sectors. A special question in May’s survey suggested over a third of respondents had seen a negative impact on business from referendum-related uncertainty.”