DAVY VIEW

This morning’s Irish Construction PMI — 48.3 in September, down sharply from 53.7 in August — signals the first contraction in output since 2013, with Brexit uncertainty cited as the key factor holding back new orders and activity. However, should the UK avoid a ‘no-deal’ Brexit on October 31st, sentiment should rebound. The Northern Ireland PMI (43.6) shows a deeper malaise at play, signalling the seventh consecutive month in which output has contracted.