Leading Economic Indicators Rise in May

Washington, DC, June 20, 2008--The index of leading economic indicators, issued by The Conference Board, increased 0.1 percent to 102.1 in May.

The interest-rate spread and stock prices offset declines in real money supply, consumer expectations and building permits.

According to a consensus compiled by Briefing.com, economists had expected the index to remain unchanged after a 0.1 percent increase in April.

The index has increased 0.1 percent each month since March, when it reversed course after a five-month decline.

Besides stock, positive contributors to the index were the interest-rate spread, manufacturers' new orders for consumer goods and materials, and manufacturers' new orders for nondefense capital goods.

Negative contributors included real money supply, consumer expectations, building permits, index of supplier deliveries and weekly initial claims for unemployment insurance.

In the six-month span ending in March, the index fell 0.7%. Over the past six month, seven of the 10 index components have shown decreases.