Friday, June 1, 2012
USA LEI Dips: "Economy still struggling to gain momentum"
The Conference Board: USA Monthly Leading Index
The April 2012 USA Monthly Leading Economic Index slightly dipped -0.1 to 95.5 (preliminary). Last month was a post-recession high (95.6). Overall, continuing economic growth is forecast but downside risk exists via the global economy becoming a drag.
Ataman Ozyildirim, economist at The Conference Board, said "The LEI declined slightly in April. Falling housing permits, rising initial claims for unemployment insurance and subdued consumer expectations offset small gains in the remaining components. The LEI’s six-month growth rate fell slightly, but remains in expansionary territory and well above its growth at the end of 2011. The CEI, a measure of current economic conditions, has also increased for five consecutive months".
Ken Goldstein, economist at The Conference Board, said "The indicators reflect an economy that’s still struggling to gain momentum. Growth is slow, but choppy, and consumers, executives and investors are looking for more progress".
USA Monthly LEI The April 2012 reading is just below last month's post-recession high, the highest since 2008.
USA Monthly Composite Indexes The April 2012 readings are chart highs for the Lagging and Coincident Economic Indexes. The Indexes have been revamped with benchmark revisions (2004 = 100.00).