U.S. Weekly Leading Index Ticked Down
The U.S. Weekly Leading Index (WLI) ticked down to 137.8 from 137.9. The growth rate edged down to 8.4% from 8.7%.
The U.S. economic slowdown is set to continue, as the latest WLI upturn is not sufficiently pronounced, pervasive and persistent – the three P’s – to qualify as a true cyclical upturn. Rather, it partly reflects the run-up in the markets as the early-2016 recession fears among the consensus faded, with the Fed backing off its rate hike plans, the dollar weakening, and some data beating significantly lowered expectations.
To put the economy in perspective please see links below:
- watch Lakshman Achuthan's interview on Bloomberg TV.
- read ECRI's "Stagflation Lite Getting Harder to Ignore."
For a closer look at recent moves in the U.S. Weekly Leading Index, see the chart below: