The Conference Board Leading Economic Index® (LEI) for Japan Declines

Jul 13, 2015, 21:00 ET from The Conference Board

NEW YORK, July 13, 2015 /PRNewswire/ -- The Conference Board Leading Economic Index® (LEI) for Japan declined 0.1 percent in May to 102.7 (2010 = 100), following no change in April, and a 0.4 percent decline in March.

At the same time, The Conference Board Coincident Economic Index® (CEI) for Japan, a measure of current economic activity, declined 0.2 percent in May to 97.7 (2010 = 100), following a 0.1 percent decline in April, and a 0.2 percent decline in March. 

The Conference Board LEI for Japan declined slightly in May. As a result, its six-month growth rate has moved further into negative territory. The CEI has been on a gradual downward trend since the beginning of this year, and its six-month growth rate is only slightly more positive than the previous six months. Taken together, the recent behavior of both indexes suggests that the growth in economic activity should continue, but may lose some momentum in the short-term.

About The Conference Board Leading Economic Index® (LEI) for Japan

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 ten components of The Conference Board Leading Economic Index® for Japan include:

Operating Profits
Dwelling Units Started
Business Failures
Index of Overtime Worked
Stock Prices (TOPIX)
Six-Month Growth Rate of Labor Productivity
Tankan Business Conditions Survey
Money Supply
Yield Spread
New Orders for Machinery and Construction

For more information including full press release and technical notes:
http://www.conference-board.org/data/bcicountry.cfm?cid=5

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


2015


6-month



Mar


Apr


May


Nov to May











Leading Economic Index (LEI)

102.8

p

102.8

p

102.7

p



  Percent Change

-0.4

p

0.0

p

-0.1

p

-0.9

p

  Diffusion

55.0


50.0


55.0


60.0











Coincident Economic Index (CEI)

98.0

p

97.9

p

97.7

p



  Percent Change

-0.2

p

-0.1

p

-0.2

p

-0.1

p

  Diffusion

12.5


50.0


25.0


37.5











n.a.  Not available     p  Preliminary     r  Revised







Indexes equal 100 in 2010









Source:  The Conference Board               All Rights Reserved






 

SOURCE The Conference Board



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