The Conference Board Leading Economic Index® (LEI) for Korea Declines
NEW YORK, Aug. 16, 2012 /PRNewswire/ — The Conference Board Leading Economic Index® (LEI) for Korea declined 1.0 percent in June to 118.7 (2004 = 100), following a 1.2 percent decline in May, and a 0.1 percent decline in April.
At the same time, The Conference Board Coincident Economic Index® (CEI) for Korea, a measure of current economic activity, decreased 0.5 percent in June to 117.5 (2004 = 100), following a 0.6 percent increase in May, and a 0.3 percent increase in April.
The Conference Board LEI for Korea has been declining for four consecutive months, and as a result its six-month growth rate has been slowing since the beginning of this year. In fact, the rate returned to negative territory in June and is now declining at nearly the same pace as during the second half of 2011. Meanwhile, The Conference Board CEI for Korea also declined in June, and its six-month growth rate has slowed compared to earlier this year. Taken together, although the economy is still likely to continue expanding in the near term, the recent declines in the leading economic index suggest that the rate of expansion is likely to slow.
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
For more information including full press release and technical notes:
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 2012 6-month ---- ------- Apr May Jun Dec to Jun --- --- --- ---------- Leading Economic index (LEI) 121.3 119.9 r 118.7 Percent Change -0.1 -1.2 -1.0 -0.8 Diffusion 21.4 42.9 42.9 57.1 Coincident Economic Index (CEI) 117.4 p 118.1 p 117.5 p Percent Change 0.3 p 0.6 p -0.5 p 0.9 p Diffusion 75.0 75.0 25.0 50.0 n.a. Not available p Preliminary r Revised Indexes equal 100 in 2004 Source: The Conference Board All Rights Reserved
SOURCE The Conference Board