This index characterizes the volume of new orders in the industrial sector. The growth of industrial orders is a sign that the economy expands. Increase in orders leads to higher employment in the industry.
Increase in orders will lead to further growth in manufacturing, and hence lead to growth of the national currency and domestic stock market. In the bond market, this leads to an increase in profitability of government securities. The index is certainly important for the market. Sometimes a strong deviation from the forecast values of the index can cause a strong change of the pound sterling rate. Certainly, the indicator is not able to deploy the prevailing trend.