IMF admits financial market turmoil triggered by shock Brexit vote has subsided

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• Chinese stocks close lower as property stocks slides
• Oil prices rebound on weaker dollar
• FTSE 100 breaks 6,800 as miners rebound
• European bourses rise ahead of PMI manufacturing data
• Pound spikes above $1.32 as UK factory activity smashes expectations
• UK manufacturing activity stages one of its sharpest rebounds on record in August
• Eurozone manufacturing growth hits three-month low in August

[h=4]Short term turbulence has 'ebbed' since shock Brexit vote says IMF[/h] The financial market turmoil triggered by the Brexit vote has subsided, according to the International Monetary Fund, in an embarrassing admission just months after the Fund warned of a vicious cycle of falling house prices and slower growth.
The Fund said growth in the run up to the referendum had "surprised on the upside", while measures taken by the Bank of England to boost growth would "support the economy" and cushion some of the negative impact.
The IMF still expects a sharp slowdown in growth in the third quarter, following growth of 0.6pc in the second quarter.
[h=4]UK manufacturing posts biggest rise in 25 years [/h] UK manufacturing activity recorded its biggest month-on-month increase in a quarter of a century in August as production and new orders jumped following the initial shock of the Brexit vote.
Markit's latest survey of the sector showed factories were returning to "business as usual" following a steep downturn in activity immediately after the June 23 vote.
The weaker pound helped to push up overseas orders, while domestic output also bounced back and employment rose for the first time this year.
The survey compiler said the recovery was broad-based, with all three manufacturing sub-sectors returning to growth. The Markit/CIPS UK manufacturing purchasing managers' index rose to 53.3 in August, from 48.2 in July. (Continue reading here)
[h=4]Pound spikes above $1.33 on UK manufacturing data beat [/h] The pound jumped by as much as 1.35pc to $1.3318 against the dollar this morning after data showed the UK manufacturing sector enjoyed one of its sharpest rebounds on record in August.
The Markit/CIPS PMI index jumped to a 10-month high of 53.3 last month - recovering from a three-year low it touched in July. The pound is now trading at its highest level in four weeks - August 4 when it touched $1.3346.





http://www.telegraph.co.uk/business...-and-pound-skids-ahead-of-uk-manufacturing-d/