US Conference Board: Oct Leading Index Up 0.9% On Broad Gains
First Published Friday, 18th November 2011 03:11 pm - © 2011 Dow Jones
NEW YORK -(Dow Jones)- The index of leading economic indicators jumped in October, suggesting some momentum building in the U.S. economy, according to data released Friday.
The leading index increased 0.9% last month after increasing 0.1% in September, first reported as a 0.2% advance.
It was the sixth consecutive increase in the index.
The October increase was better than the 0.6% gain expected by economists surveyed by Dow Jones Newswires.
"The [index] is pointing to continued growth this winter, possibly even gaining a little momentum by spring," said Ken Goldstein, economist at the board.
While next year's economy looks better than this year's performance, William Dudley, president of the New York Federal Reserve Bank, said in a speech in Albany, N.Y., earlier Friday that, "As we look toward 2012, the U.S. economy continues to face several obstacles to a robust recovery."
Dudley thinks the U.S. economy can grow about 2.75% for 2012.
In October, nine of the 10 leading indicators increased. The most positive indicators were building permits and the interest rate spread.
The only negative indicator was supplier deliveries.
The coincident index was up 0.2% last month, after a revised flat reading in September, first reported as a 0.1% increase.
The lagging index increased 0.6% in October after a revised 0.1% advance, first reported as 0.2%.
-By Kathleen Madigan, Dow Jones Newswires; 212-416-2466;