The Poor UK PMI Index, Evidence Of Recent Impact Brexit

United Kingdom economy showed a dramatic slump in its business activity after Brexit. According to data released by Markit Economics Friday (22/07/2016) this afternoon, PMI Manufacturing United Kingdom (flash) for July plunged to as low as 49.1 from 52.1 previously in. Whereas PMI services sector jeblok to 29.5 from 52.3 in June.

At Risk Of Recession

This data becomes the strongest proof that the economy is indeed United Kingdom slumped due to out of the EU and this could be the basis for the Central Bank of the United Kingdom to catapult the stimulus, although in monetary policy last week, the BoE States have yet to see signs of economic weakness due to the impact of the Brexit. The index below the 50 level that indicates that United Kingdom risky entry into recession. Markit also adds a description that has United Kingdom economic terkontraksi 0.4 percent this quarter.

"The decline in (index PMI), both because of its own due to the cancellation of the order is formed, the lack of order, or reasonable or termination of the project, still closely related either directly or indirectly with the Brexit," said Chris Williamson, Markit Chief Economist quoted by Bloomberg.

Not only that, any United Kingdom retail sales slumping as much as reported in yesterday's 4.3 percent YoY, previously reached 6.0 percent. Meanwhile, retail sales in the United Kingdom monthly decline sharply to-0.6 percent, slump of 0.6 percent from the previous month, and were all below the expectations of analysts.

The Poor UK PMI Index, Evidence Of Recent Impact Brexit