A measure of British manufacturers' order book position weakened more than expected in March, the latest industrial trends survey by the Confederation of British Industry showed Tuesday.
The survey showed that 18 percent of the manufactures reported total orders were above normal, while 26 percent believed that they were below. The order book balance fell to -8 percent in March from -3 percent in February. The latest figure was lower than -5 economists expected, but sharply above the long-term average of of -17 percent.
Meanwhile, the measure of manufacturers' expectations for output growth increased to the highest level in a year, with the balance of responses rising to 24 percent. While 39 percent of respondents believed that output would rise in the next three months, 15 percent expected it to fall.
Manufacturers' expectations for output price inflation picked up, with the balance rising to 24 percent, the highest level since June 2011.
"The recovery in the manufacturing sector seems to be building some momentum," CBI chief economic adviser Ian McCafferty said. "Firms again expect a strong rise in output over the next three months, on the back of above-average order books."
(Market News Provided by RTTNews)