The leading indicators for the U.S. economy dropped for the eighth consecutive month in October due to weakness in the housing market and manufacturing, as well as higher jobless claims. Despite challenges, the U.S. economy is expected to keep growing.
Key Points
Index of leading indicators dropped 0.3 percent in October
Manufacturing new orders remained weak in 11 out of 14 industries
Manufacturing hours worked fell significantly
Unemployment insurance claims rose
Building permits declined due to impact of hurricanes
Negative yield spread continued to affect the leading indicators
The U.S. economy is not signaling an imminent recession
Pros
Insight into the current state of the U.S. economy
Expectation of continued economic growth despite challenges