Leading Economic Index Keeps Climbing in July
|The Leading Economic Index (LEI) continued to trek higher in July, climbing 0.3 percent over the month. The LEI has strung together 11 consecutive monthly gains, a positive sign for continued economic growth ahead.
Factory Orders, Consumer Sentiment Provide Boost
- The LEI increased 0.3 percent in July despite a drag from building permits after yesterday’s disappointing housing starts print.
- ISM new orders and consumer expectations for the future provided healthy boosts to the index. The coincident index also ticked up in the month, with positive contributions from all components.
LEI Maintains Its Winning Streak
- The LEI has increased for 11 consecutive months dating back to last September. The last time this feat was achieved was in mid-2015, which turned out to be the strongest year of the recovery thus far (2.9 percent full year real GDP growth).
- Our primary recession forecasting model utilizes the LEI as a key input, and with another positive print today the model indicates that the probability of a recession in the next six months is low.
Download The Full Economic Indicators
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.