LEI Up 0.9% Last Month

There’s more good economic news today. The Index of Leading Economic Indicators rose 0.9% last month.

“The [index] is pointing to continued growth this winter, possibly even gaining a little momentum by spring,” said Ken Goldstein, economist at the board.

While next year’s economy looks better than this year’s performance, William Dudley, president of the New York Federal Reserve Bank, said in a speech in Albany, N.Y., earlier Friday that, “As we look toward 2012, the U.S. economy continues to face several obstacles to a robust recovery.” Dudley thinks the U.S. economy can grow about 2.75% for 2012.

In October, nine of the 10 leading indicators increased. The most positive indicators were building permits and the interest rate spread. The only negative indicator was supplier deliveries.

The coincident index was up 0.2% last month, after a revised flat reading in September, first reported as a 0.1% increase. The lagging index increased 0.6% in October after a revised 0.1% advance, first reported as 0.2%.

I’m surprised at the strength of the consumer.

Posted by on November 18th, 2011 at 11:05 am


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