U.K. Vibes are Shifting a Little Brighter

Dow Jones
08/21

1246 GMT - Sentiment around the U.K. economy has recovered from the post-energy shock lows, with inflationary pressures looking under control and public finances are weathering the war due to robust tax receipts, Morgan Stanley's Bruna Skarica says. "Aided by a patient Bank of England and the tailwinds of global growth, the U.K. economy is in an OK place," she says in a note. PMIs surprised to the upside, driven by the services sector, while confidence data suggests consumers feel a bit more reassured about the economy and their personal finances than a few months ago, she says. "Considering the importance of the evolution of the savings rate for the U.K.'s near-term outlook, that is a noteworthy development," Skarica says.

 

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