'The UK will be OK': Managers say 'unloved' market can defy 'gloomy forecasts'

Despite Moody's downgrade

Managers are set to take advantage of domestic cyclical opportunities arising from the increasingly "bearish consensus" surrounding the UK economy, pointing to positive fundamentals being suffocated by negative sentiment from the media and economists.

Last month, Moody's cut the UK's credit rating from Aa1 to Aa2 on the back of concerns over the country's weakening public finances and the impact of leaving the European Union on economic growth. The UK is currently the slowest growing economy in the G7, expanding just 0.3% in Q2, while earlier this year the Office for National Statistics (ONS) released figures showing growth in private consumption slowed to 0.1% in Q2; the slowest quarterly growth rate since Q4 2014. Regulatory headwinds are weighing heavily on the country's outlook, with the UK recently branded the second riskiest ...