The composite index – an average of the indices for production, new orders, employment, supplier delivery time, and raw materials inventory – dropped from +3 in January and +1 in February to -4 in March. This ugly trend looks like this:
Definition: The index of leading economic indicators (LEI) is intended to predict future economic activity. Typically, three consecutive monthly LEI
changes in the same direction suggest a turning point in the economy.
For example, consecutive negative readings would indicate a possible