U.S. Leading Economic Index Decreases For 17th Straight Month In August

(RTTNews) - A report released by the Conference Board on Thursday showed its reading on leading U.S. economic indicators fell by slightly more than expected in the month of August.

The Conference Board said its leading economic index decreased by 0.4 percent in August after dipping by a revised 0.3 percent in July.

Economists had expected the leading economic index to fall by 0.3 percent compared to the 0.4 percent drop originally reported for the previous month.

"With August's decline, the US Leading Economic Index has now fallen for nearly a year and a half straight, indicating the economy is heading into a challenging growth period and possible recession over the next year," said Justyna Zabinska-La Monica, Senior Manager, Business Cycle Indicators, at The Conference Board.

She added, "The leading index continued to be negatively impacted in August by weak new orders, deteriorating consumer expectations of business conditions, high interest rates, and tight credit conditions."

Meanwhile, the report said the coincident economic index rose by 0.2 percent in August following a 0.3 percent increase in July.

The lagging economic index also improved by 0.2 percent in August after inching up by 0.1 percent in the previous month.