The Conference Board Leading Economic Index For Euro Area Declines

Euro Area economy remains very weak and recovery in the coming months continues to be unlikely,  according to The Conference Board Leading Economic Index for the Euro area.

Europe

The Conference Board Leading Economic Index (LEI) for the Euro Area decreased 0.4% in March and now stands at 105.8 (2004=100), after increasing 0.1% in February and increasing 1.4% in January.

“The decline in the LEI suggests that the Euro Area economy remains very weak and a recovery in the coming months continues to be unlikely,” says Bert Colijn, Economist for Europe at The Conference Board.

“Business and consumer confidence have dropped as a result of political instability in Italy, the Cypriot bailout process, and increased concerns about the negative growth impact of the austerity programs in various countries. However, financial stress remains low which suggests that stability in Europe’s financial system is still more solid than a year ago.”

The Conference Board Coincident Economic Index (CEI) for the Euro Area, which measures current economic activity, decreased 0.1% in March, according to preliminary estimates. The index now stands at 101.0 (2004 = 100)*. The CEI was unchanged in February and decreased 0.1% in January.

About The Conference Board Leading Economic Index (LEI) for the Euro Area

The Conference Board Leading Economic Index for the Euro Area was launched in January 2009. Plotted back to 1987, this index has successfully signaled turning points in the business cycle of the bloc of countries that now constitute the Euro Area, defined by the common currency zone.

Source: The Conference Board

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