The British currency slightly declined although Britain’s construction sector has posted another month of solid growth, according to data firm Markit.
The pound declined against the dollar, but held higher against the euro with GBP/USD last seen at 1.5409, down 0.06% and EUR/GBP lower 0.28% at 0.7126.
Markit’s construction PMI came in at 58.8 last month, down from 59.9 in September. That suggests growth slowed a little, but it’s still looking pretty healthy.
Commercial building work was an essential growth driver in October, as housing and civil engineering activity both grew at slower rates than in September.
October saw a relatively subdued cost inflation, helped by lower raw material prices, especially metals.
Construction companies remain highly positive about their prospects for growth over the next 12 months.
Tim Moore, senior economist at Markit and
author the report, commented on the report:
"Rather than acting as a drag on the economy, as suggested by recent GDP estimates, the sector is continuing to act as an important driving force behind the ongoing U.K. economic upturn."
Today’s construction report follows an unexpectedly strong manufacturing PMI yesterday, which showed growth recovered in October.
This may be a sign that the economy is picking up after slowing in the last quarter.
