Economics
U.K. Services Prop Up Economy on Better-Than-Forecast Growth
- Index for largest part of economy jumps to four-month high
- Upturn ‘leaves May rate hike very much in play,’ IHS says
Photographer: Chris Ratcliffe/Bloomberg
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U.K. services activity grew more than expected in February, supporting economic growth and keeping alive the prospect of an interest-rate increase within months.
IHS Markit’s Purchasing Managers Index for the biggest part of the economy jumped to 54.5 -- a four-month high -- from 53 in January. That’s well above the 53.3 reading forecast by economists in a Bloomberg survey. The composite PMI also rose, though only to a two-month high.