Tags: Leading | Indicators | Growth

Leading Indicators Rise, Signaling Stronger Growth

Friday, 18 Nov 2011 10:11 AM

A gauge of future economic activity rose at solid pace in October, offering hope that the economy may see stronger growth in coming months.

The Conference Board reported Friday that its index of leading economic indicators rose 0.9 percent last month, significantly faster than the revised 0.1 percent rise in September and the 0.3 percent increase in August.

The economy, after growing at an anemic pace of just 0.9 percent in the first six months of the year, grew at a 2.5 percent rate in the July-September quarter. Some analysts are looking for even stronger growth in the current October-December quarter.

But even the most optimistic forecasters are not predicting growth will rebound to levels that would make a significant dent in the unemployment rate, which has been stuck around 9 percent for the past two years.

The October rebound in the leading index reflected positive contributions from building permits, the spread between short-term and long-term interest rates, a rising stock market and a slightly better employment reading.

Economists said the strong October gain in the leading index and other positive reports recently had at least eased fears that the economy would be in danger of slipping into a recession.

Conference Board economist Ken Goldstein said that the latest leading indicators report was pointing "to continued growth this winter, possibly even gaining a little momentum by spring."

© Copyright 2017 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

 
1Like our page
2Share
Economy
A gauge of future economic activity rose at solid pace in October, offering hope that the economy may see stronger growth in coming months. The Conference Board reported Friday that its index of leading economic indicators rose 0.9 percent last month, significantly faster...
Leading,Indicators,Growth
227
2011-11-18
Friday, 18 Nov 2011 10:11 AM
Newsmax Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved