UK manufacturing PMI to rise in June

UK's manufacturing survey shows a clear cooling of growth since last summer, corroborated by the official data. A little movement is expected in this series beyond normal volatility. 

That said, the general strength of domestic demand is not being reflected more clearly in manufacturing output. The culprit might be external demand. The PMI and CBI manufacturing surveys both show persistent softness in export orders with some suggestion that the strength of the exchange rate has played a role in this weakness. 

"These factors continued in June so we expect only a minor rise in the manufacturing PMI from 52.0 to 52.5", says Societe Generale.