Conference Board Still Sees Economic Improvement

The Conference Board, a private research group, said its index of leading economic indicators increased 0.3% in August after rising 0.1% in July and undergoing a 0.2% decline in June.

Economists surveyed by Thomson Reuters had expected another 0.1% increase in August.

Said Ken Goldstein, economist at The Conference Board: “While the
recession officially ended in June 2009, the recent pace of growth has
been disappointingly slow, fueling concern that the economic recovery
could fade and the U.S. could slide back into recession. However, latest
data from the U.S. LEI suggest little change in economic conditions
over the next few months. Expect more of the same – a weak economy with
little forward momentum through 2010 and early 2011.”

Says Ataman Ozyildirim, economist at The Conference Board: “The U.S.
LEI, which began rising three months before the end of the recession,
remains on a general upward trend. However, the pace has been slowing.
Correspondingly, current economic conditions, as measured by The
Conference Board CEI, have been essentially flat since May, after
reaching a bottom in June 2009. Taken together, the composite indexes
are consistent with a slowly expanding economy in the near term.”

The Conference Board Coincident Economic Index (CEI) for the U.S. was
unchanged in August, remaining at 101.3 (2004 = 100), following a 0.1
percent increase in July, and no change in June. The Conference Board
Lagging Economic Index® (LAG) increased 0.2 percent in August to 108.1
(2004 = 100), following a 0.4 percent increase in July, and a 0.1
percent increase in June.