An indicator designed to track turns in US business cycles fell for the 15th consecutive month in June.
The index fell due to weak consumer expectations and an increase in jobless claims, marking the longest series of declines since the run-up to the 2007–2009 recession, according to “Reuters.”
The Conference Board reported that its Leading Economic Index, which forecasts future economic activity, declined 0.7% in June to 106.1, following a 0.6% decline in May. The drop was slightly bigger than the 0.6% drop predicted by economists polled by Reuters.
“The June data indicates that economic activity will continue to slow in the coming months,” Justyna Zabinska La Monica, Senior Director of Business Cycle Indicators at the Conference Board, said in a statement. The conference board reiterated its forecast that the US economy is likely to be in recession from the current third quarter to the first quarter of 2024.
“Rising prices, tighter monetary policy, more difficult credit, and fewer government spending are all set to weaken economic growth even further,” Zabinska-La Monica added.
