UK Industrial Production (Jun MM) -0.2% vs. Exp. 0.1% (Prev. -0.7%)

A second consecutive monthly contraction in UK industrial output, and a miss against a flat-to-positive consensus, keeps the production sector on the weaker side of the UK growth mix, where it has sat for an extended period while services have carried the expansion. The distinction that matters for the rates channel is breadth: a miss concentrated in energy or a single volatile component has historically been faded, whereas weakness spread across manufacturing subsectors has tended to feed through to gilt front ends via the growth leg of the policy debate rather than the inflation leg. A single soft industrial print on its own has rarely shifted Bank of England pricing materially; what has moved it is accumulation, and whether the weakness shows up in the accompanying GDP estimate and the business surveys that the MPC leans on between meetings. The prior month's decline, if unrevised, confirms direction rather than a one-off, and any revision to that back month is the first thing to check. Follow-ons are the broader activity releases and survey data in the run-up to the next policy decision, where the manufacturing input and output price balances will determine whether this reads as a demand story or a cost story.