Leading Indicators Signal Further Expansion

The index of leading U.S. economic indicators in June rose for the eighth time in nine months, a sign the expansion is on track for its longest period ever. The Conference Board’s index, intended to predict economic growth over the next half a year, rose 0.3% for the month, after an increase of 0.3% in May. Analysts had expected the June index to rise 0.2%. The rise in the index was led by increases in new orders for consumer goods, an increase in the money supply and a widening of the spread between the interest rate on the 10-year Treasury note and the federal funds rate. The index is calculated by the New York-based Conference Board based on previously reported economic statistics. The index of coincident indicators, a gauge of current economic activity including industrial output, rose 0.4% in June.