The yield on the benchmark 10-year Treasury note fell below 2% for the first time since November 2016 on Wednesday — breaching a key psychological level.Bondsread more
The Fed came very close to promising a rate cut Wednesday, and now markets are focused on a possible July rate cut.Market Insiderread more
Markets had expected the central bank to keep its benchmark interest rate steady while setting up a cut at the July meeting.The Fedread more
Powell said policymakers are concerned about some of the recent economic developments and see a growing case for easier policy.The Fedread more
Amazon and Blue Origin founder Jeff Bezos gave more insight into his space company's lunar plans on Wednesday.Technologyread more
As the presidents of U.S. and China near a highly anticipated meeting on trade, the gap in both sides' expectations regarding a deal remains wide.World Politicsread more
Delta warned travelers that a technical problem could delay flights on Wednesday.Airlinesread more
The Fed chief said that despite reports that Trump was looking to demote or fire him, he doesn't plan on leaving anytime soon.The Fedread more
If the Trump administration and Congress fail to reach a spending agreement, the White House will offer to keep the government funded at its current levels for a year, Mnuchin...Politicsread more
With bold and targeted steps, economists say, government can increase opportunity and incomes for many more people in ways that strengthen, not weaken, American capitalism.Politicsread more
Investors need to be cautious because the economy will get hurt the longer the trade war drags on, Jim Cramer says.Mad Money with Jim Cramerread more
LONDON, June 5 (Reuters) - British economic growth almost halted last month as a modest expansion in the services sector barely offset weakness among manufacturers and construction firms caused by the Brexit crisis and weaker global growth, a business survey showed.
The IHS Markit/CIPS services Purchasing Managers' Index (PMI) edged up to 51.0 from 50.4 in April, its strongest reading in three months and slightly above economists' average forecast in a Reuters poll.
Equivalent PMI surveys for manufacturing and construction published earlier this week unexpectedly fell deep into contractionary territory, however, and taken together, the three PMIs gave one of their weakest readings since 2012.
"The PMI surveys collectively indicated that the UK economy remained close to stagnation midway through the second quarter," IHS Markit economist Chris Williamson said.
Official data showed Britain's economy grew a robust 0.5% in the first quarter of the year, though much of that was driven by firms stockpiling ahead of a Brexit deadline of March 29, which has since been postponed until Oct. 31.
The Bank of England forecasts Britain's quarterly economic growth rate will fall to 0.2% for the three months to June.
Many services firms said Brexit worries continued to hurt sales in Europe, echoing a concern voiced by manufacturers on Monday.
"Domestic political uncertainty remained a key factor holding back their growth expectations for the year ahead," IHS Markit said, adding that Brexit concerns were weighing on business investment and consumer spending.
Prime Minister Theresa May announced her resignation in May ahead of a heavy defeat for her Conservative Party in European Parliament elections, triggering a leadership contest that could open the way for a successor with a tougher line on Brexit.
Nonetheless, the survey found optimism among services firms rose to its highest since September 2017 and hiring was the strongest since November.
BoE officials have said that in an uncertain business environment, British firms tend to meet expansion needs by hiring staff -- who can be easily sacked in a downturn -- rather than make long-term investments that are costly to reverse.
- Detailed PMI data are only available under license from IHS Markit and customers need to apply for a license.
To subscribe to the full data, click on the link below: https://www.ihsmarkit.com/about/contact-us.html
For further information, please phone IHS Markit on +800 6275 4800 or email economicszihsmarkit.com (Reporting by David Milliken; Editing by Catherine Evans)