US' Leading Economic Index (LEI) increased (19-Aug-2010) 0.1% in Jul-2010 to 109.8, following a 0.3% decline in Jun-2010 and a 0.5% increase in May-2010, according to The Conference Board. Meanwhile, the US Coincident Economic Index (CEI) increased 0.2% in Jul-2010 to 101.4, following a 0.1% decline in Jun-2010 and a 0.4% increase in May-2010. The Conference Board added that the Lagging Economic Index (LAG) increased 0.4% in Jul-2010 to 107.9, following a 0.1% increase in Jun-2010 and a 0.1% decline in May-2010. [more]
The Conference Board: “The indicators point to a slow expansion through the end of the year. With inventory rebuilding moderating, the industrial core of the economy has moved to a slower pace. There appears to be no change in the pace of the service sector. Combined, the result is a weak economy with little forward momentum. However, the good news is that the data do not point to a recession,” Ken Goldstein, economist. Source: Company Statement, 19-Aug-2010.
The Conference Board: “The economy should continue expanding, albeit slowly. The LEI is growing at its slowest pace since mid-2009 and it has been essentially flat since March. However, the index is still well above pre-recession levels and the CEI remains on a rising trend that began in late 2009. All four coincident indicators have risen over the last six months, with July’s gain in industrial production offsetting the recent weakness in employment,” Ataman Ozyildirim, economist. Source: Company Statement, 19-Aug-2010.