The Conference Board Leading Economic Index® (LEI) for Korea Increased
NEW YORK, April 19, 2012 /PRNewswire/ – The Conference Board Leading Economic Index® (LEI) for Korea increased 2.8 percent in February to 123.3 (2004 = 100), following a 0.3 percent increase in January, and a 0.4 percent increase in December.
At the same time, The Conference Board Coincident Economic Index® (CEI) for Korea, a measure of current economic activity, increased 0.4 percent in February to 117.3 (2004 = 100), following a 0.2 increase in January, and a 0.3 percent increase in December.
The Conference Board LEI for Korea has been increasing for three consecutive months through February, and its six-month growth rate also turned positive for the first time since August of last year. Meanwhile, the upward trend in The Conference Board CEI for Korea continued through February, although the rate of growth in the index remains lower than during the first half of last year. Taken together, the recent behavior of the composite indexes suggests that although the leading economic index has improved in the last three months, it is too early to conclude that economic growth will pick up in the near term.
About The Conference Board Leading Economic Index® (LEI) for Korea
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 Korea include:
Value of Machinery Orders
Letter of Credit Arrivals
Index of Shipments to Inventories
Yield of Government Public Bonds
Private Construction Orders
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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 2011 2012 6-month Dec Jan Feb Aug to Feb --- --- --- ---------- Leading Economic Index (LEI) 119.6 r 120.0 r 123.3 Percent Change 0.4 r 0.3 r 2.8 2.0 Diffusion 50.0 r 64.3 r 92.9 85.7 Coincident Economic Index (CEI) 116.6 p 116.8 p 117.3 p Percent Change 0.3 p 0.2 p 0.4 p 1.2 p Diffusion 75.0 75.0 75.0 75.0 n.a. Not available p Preliminary r Revised Indexes equal 100 in 2004 Source: The Conference Board All Rights Reserved
SOURCE The Conference Board