The Conference Board Leading Economic Index® (LEI) for Australia Increases

Jul 24, 2012, 20:00 ET from The Conference Board

NEW YORK, July 24, 2012 /PRNewswire/ -- The Conference Board Leading Economic Index® (LEI) for Australia increased 0.4 percent in May to 123.6 (2004 = 100), following a 1.3 percent decline in April, and a 0.1 percent decline in March.

At the same time, The Conference Board Coincident Economic Index® (CEI) for Australia, a measure of current economic activity, increased 0.3 percent in May to 120.7 (2004 = 100), following a 0.2 percent increase in April, and a 0.4 percent increase in March.

The Conference Board LEI for Australia increased in May after declining for three months in a row. However, its six-month change remains negative. Meanwhile, The Conference Board CEI for Australia has been on a slightly rising trend for the past year. Taken together, the recent behavior in the composite indexes suggests that despite the rapid pace of economic expansion in the first quarter, the rate of growth is likely to moderate in the near term.

About The Conference Board Leading Economic Index® (LEI) for Australia  
The composite economic indexes are the key elements in an analytic system designed to signal peaks and troughs in the business cycle. The leading and coincident economic indexes are essentially composite averages of several individual leading or coincident indicators. They are constructed to summarize and reveal common turning point patterns in economic data in a clearer and more convincing manner than any individual component – primarily because they smooth out some of the volatility of individual components.

The seven components of The Conference Board Leading Economic Index® for Australia include:

Yield Spread, 10 year minus Policy Rate  
Share Prices, All Ordinaries  
Money Supply, M3  
Rural Goods Exports  
Sales to Inventory Ratio  
Gross Operating Surplus, Private Non-Financial Corporations  
Building Approvals

For more information including full press release and technical notes:  
http://www.conference-board.org/data/bcicountry.cfm?cid=7

For more information about The Conference Board global business cycle indicators:  
http://www.conference-board.org/data/bci.cfm

About The Conference Board  
The Conference Board is an independent business membership and research association working in the public interest. Our mission is unique: To provide the world's leading organizations with the practical knowledge they need to improve their performance and better serve society. The Conference Board is a non-advocacy, not-for-profit entity holding 501 (c) (3) tax-exempt status in the United States.  www.conference-board.org.

 

Summary Table of Composite Economic Indexes 


Mar

2012

Apr

May

6-month

Nov to May









Leading Economic Index

124.7

p

123.1

p

123.6

p


   Percent Change

-0.1

p

-1.3

p

0.4

p

-1.1

   Diffusion

57.1


50.0


50.0


42.9









Coincident Economic Index

120.0

p

120.3

p

120.7

p


   Percent Change

0.4

p

0.2

p

0.3

p

1.4

   Diffusion

75.0


100.0


100.0


100.0









n.a.   Not available      p  Preliminary      r  Revised

Indexes equal 100 in 2004

Source: The Conference Board        All Rights Reserved

 

Twitter | Facebook | LinkedIn

 

SOURCE The Conference Board



RELATED LINKS

http://www.conference-board.org