<p class="bodytext">British factories lost more momentum in October, especially among consumer goods makers, according to a survey which added to signs of a slowdown in the economy as the number of coronavirus cases mounts again.</p>.<p class="bodytext">However, a measure of optimism for the year ahead hit its highest level in nearly three years.</p>.<p class="bodytext">The IHS Markit/CIPS manufacturing Purchasing Managers' Index (PMI) fell to 53.7 from September's 54.1 but was up a touch from a preliminary reading and remained above the 50.0 threshold denoting growth.</p>.<p class="bodytext">Stock-building by clients in Europe ahead of a possible no-deal end to Britain's post-Brexit transition period on Dec. 31 and increased demand from the recovering economies of China and the United States boosted exports, IHS Markit said.</p>.<p class="bodytext">Intermediate and investment goods industries reported a strong October. But consumer goods firms, which are more sensitive to short-term changes in the economy, saw output and new business fall for the first time since they began to recover from the COVID-19 shock earlier this year.</p>.<p class="bodytext">Britain's economic recovery from the coronavirus lockdown has lost steam as the pandemic builds again and as the government scales back its jobs support scheme.</p>.<p class="bodytext">Most economists polled by Reuters expect the Bank of England to announce a fresh increase in its bond-buying stimulus programme on Thursday.</p>.<p class="bodytext">Monday's PMI survey showed job losses were most marked in the consumer goods sector. By contrast, staffing levels rose for the first time in eight months in the intermediate goods category.</p>.<p class="bodytext">Over 60% of companies expected output to rise over the coming year, compared to 10% forecasting a decline.</p>.<p class="bodytext">"However, some firms also raised concerns about the potential impact of both the ongoing pandemic and Brexit uncertainty," Markit said.</p>.<p class="bodytext">Input prices rose by the most since December 2018 and some of the increase was passed on to clients.</p>.<p class="bodytext">The survey was conducted between Oct. 12-27.</p>
<p class="bodytext">British factories lost more momentum in October, especially among consumer goods makers, according to a survey which added to signs of a slowdown in the economy as the number of coronavirus cases mounts again.</p>.<p class="bodytext">However, a measure of optimism for the year ahead hit its highest level in nearly three years.</p>.<p class="bodytext">The IHS Markit/CIPS manufacturing Purchasing Managers' Index (PMI) fell to 53.7 from September's 54.1 but was up a touch from a preliminary reading and remained above the 50.0 threshold denoting growth.</p>.<p class="bodytext">Stock-building by clients in Europe ahead of a possible no-deal end to Britain's post-Brexit transition period on Dec. 31 and increased demand from the recovering economies of China and the United States boosted exports, IHS Markit said.</p>.<p class="bodytext">Intermediate and investment goods industries reported a strong October. But consumer goods firms, which are more sensitive to short-term changes in the economy, saw output and new business fall for the first time since they began to recover from the COVID-19 shock earlier this year.</p>.<p class="bodytext">Britain's economic recovery from the coronavirus lockdown has lost steam as the pandemic builds again and as the government scales back its jobs support scheme.</p>.<p class="bodytext">Most economists polled by Reuters expect the Bank of England to announce a fresh increase in its bond-buying stimulus programme on Thursday.</p>.<p class="bodytext">Monday's PMI survey showed job losses were most marked in the consumer goods sector. By contrast, staffing levels rose for the first time in eight months in the intermediate goods category.</p>.<p class="bodytext">Over 60% of companies expected output to rise over the coming year, compared to 10% forecasting a decline.</p>.<p class="bodytext">"However, some firms also raised concerns about the potential impact of both the ongoing pandemic and Brexit uncertainty," Markit said.</p>.<p class="bodytext">Input prices rose by the most since December 2018 and some of the increase was passed on to clients.</p>.<p class="bodytext">The survey was conducted between Oct. 12-27.</p>