Although the unexpected rise in the composite activity PMI in April suggests the economy grew faster at the start of Q2, the more marked fall in the services output prices balance may make the Bank of England feel a bit more comfortable to cut interest rates for the first time in the coming months (perhaps in June). But the risk is that activity remains strong and results in services CPI inflation stalling further ahead.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.