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Economic news
17.05.2024

U.S. Leading Economic Index declines more than forecast in April

The Conference Board reported on Friday that its Leading Economic Index (LEI) for the US fell 0.6 per cent m-o-m in April to 101.8 (2016=100), following an unrevised 0.3 m-o-m decrease in March.

Economists had forecast a drop of 0.3 per cent m-o-m.

The report also revealed the Conference Board Coincident Economic Index (CEI) for the US increased by 0.2 per cent m-o-m to 112.3 in April after a downwardly revised 0.2 per cent m-o-m gain (from +0.3 per cent m-o-m) in the previous month. Meanwhile, its Lagging Economic Index (LAG) for the US jumped 0.4 per cent m-o-m to 119.5, following an unrevised flat m-o-m in March.

Commenting on the latest data, Justyna Zabinska-La Monica, Senior Manager, Business Cycle Indicators at the Conference Board, said that April’s fall in the U.S. LEI confirms that softer economic conditions lay ahead. “Deterioration in consumers’ outlook on business conditions, weaker new orders, a negative yield spread, and a drop in new building permits fueled April’s decline,” she added. Zabinska-La Monica also revealed that the Conference Board expects the real GDP growth to slow to under 1 per cent over the Q2 to Q3 2024 period.

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