The Conference Board Leading Economic Index for the US rose 0.7% in September to a level of 107.2, further stoking concerns of slower growth. The index had risen 1.4% in August and 2.0% in July.
September’s increase was driven by declining unemployment claims and rising housing permits, said Ataman Ozyildirim, senior director of economic research at The Conference Board. But the decelerating pace of improvements point to the US economy is losing momentum.
“The US economy is projected to expand in Q4, but at a substantially slower rate of 1.5% (annual rate) according to The Conference Board’s GDP forecast,” Ozyildirim said. “Furthermore, downside risks to the recovery may be increasing amid rising new cases of Covid-19 and continued labor market weakness.”