Eco­nomic week ahead

The Daily Telegraph - Business - - Business -

The econ­omy’s re­cov­ery is ex­pected to lose mo­men­tum in monthly GDP fig­ures for Au­gust, re­vealed on Fri­day. The Chan­cel­lor’s Eat Out to Help Out scheme gave the hos­pi­tal­ity sec­tor a much­needed lift but fore­cast­ers ex­pect growth in Au­gust to slow.

GDP is set to rise by around 5pc com­pared to the pre­vi­ous month, down from 6.6pc, but that will still leave out­put more than 7pc be­low its pre-virus lev­els. That would be the slow­est growth since May and fur­ther pres­sure could be put on the econ­omy in the com­ing months as the fur­lough scheme un­winds and a sec­ond wave of Covid-19 cases strikes the UK. Ahead of the of­fi­cial fig­ures, more timely in­di­ca­tors will give economists a gauge of how the re­cov­ery pro­gressed. A more de­tailed look at the ser­vices and con­struc­tion PMIs are due on Mon­day and Tues­day.

Else­where, the euro­zone’s re­bound will also be in the spot­light with re­gion-wide re­tail sales and Ger­man in­dus­trial pro­duc­tion data due. Sur­veys sug­gest the re­cov­ery in the cur­rency bloc is slow­ing as Covid cases rise again.

Newspapers in English

Newspapers from UK

© PressReader. All rights reserved.