Manufacturing production in the U.K. dropped more than initially expected in August, a sign nation's economy may struggle to regain strength, the U.K. Office for National Statistics said on Tuesday. Factory output fell by 1.1%, down from 3.2% gain in July. Analysts had predicted manufacturing output in the U.K. to decline by 0.6%.
"Now that stands somewhat in contrast to a story of weak economic growth in the UK, but as of now, the weak manufacturing data is saying one story and the bigger deficit is telling another story, so we'll have to wait for more clarity to really get a sense of the strength of the economy," said Amit Kara, from UBS.