| Consensus | Actual | Previous | |
|---|---|---|---|
| Month over Month | 0.2% | -0.1% | 0.2% |
| 3-Months over 3-Months | 0.2% | 0.1% | 0.2% |
Highlights
Real GDP over the month fell by 0.1 percent in September, behind forecasts and following a 0.2 percent growth in August. Manufacturing and information and communication services contributed significantly to the September decline, while services output showed no growth, after a 0.1 percent rise in August. Production output dropped by 0.5 percent in September, mainly due to a contraction in manufacturing, reversing the 0.5 percent growth seen in August. Construction output recorded a modest 0.1 percent increase in September, following a revised 0.6 percent rise in August.
Over the three months to September, real GDP grew by 0.1 percent compared with the previous quarter, driven by retail trade (excluding motor vehicles) and new construction work. Also, services output increased by 0.1 percent over the three months. However, production output declined by 0.2 percent over the three months to September, while construction output expanded by 0.8 percent, marking a continued positive trend.
These figures indicate mixed economic performance, with growth in some sectors offset by declines in others. Today's updates put the UK RPI at minus 20 and the RPI-P at minus 24, indicating that economic activity in general is lagging moderately behind market forecasts.
Over the three months to September, real GDP grew by 0.1 percent compared with the previous quarter, driven by retail trade (excluding motor vehicles) and new construction work. Also, services output increased by 0.1 percent over the three months. However, production output declined by 0.2 percent over the three months to September, while construction output expanded by 0.8 percent, marking a continued positive trend.
These figures indicate mixed economic performance, with growth in some sectors offset by declines in others. Today's updates put the UK RPI at minus 20 and the RPI-P at minus 24, indicating that economic activity in general is lagging moderately behind market forecasts.
Market Consensus Before Announcement
Total output is expected to match August's advance with a 0.2 percent rise in September.
Definition
Gross domestic product (GDP) is the broadest measure of aggregate economic activity and encompasses every sector of the economy. The monthly report is based on output data only as the income and expenditure series are not available.
Description
GDP covers all aspects of economic activity. Investors need to closely track the economy because it usually dictates how investments will perform. Stock market investors like to see healthy economic growth because robust business activity translates to higher corporate profits. GDP contains a treasure-trove of information which not only paints an image of the overall economy, but tells investors about important trends within the big picture. However, the monthly report is quite limited and only provides data on the main output sectors. More detailed information is available in the quarterly reports.
