Looking Up, Looking Ahead
An index that that looks down the U.S. economic road is having a mixed reaction to what it sees these days.
According to The Conference Board’s Leading Economic Index, the U.S. economy should continue to grow in the months ahead. However, the rate of growth will be held in check.
While the LEI found ample growth in jobs and consumer confidence, there was weakness in the industrial sector, and in business investment.
It seems that many people are doing better, but businesses aren’t yet convinced that the economy is taking off.
Conference Board economist Ataman Ozyildirim warns that “…easing in the LEI’s six-month change suggests that we may be entering a period of more moderate expansion.”
It’s also possible that the robust job growth of recent months will result in stronger consumer spending in the months ahead. If that happens, businesses could revise their forecasts somewhat.
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