(RTTNews) - A report released by the Conference Board showed a continued increase by its reading on leading U.S. economic indicators in the month of August, although the pace of growth slowed compared to recent months.
The Conference Board said its leading economic index jumped by 1.2 percent in August after surging up by 2.0 percent in July and spiking by 3.1 percent in June. Economists had expected the index to increase by 1.3 percent.
Ataman Ozyildirim, Senior Director of Economic Research at The Conference Board, said the slowdown in the pace of improvement "suggests that this summer's economic rebound may be losing steam heading into the final stretch of 2020."
"Weakening in new orders for capital goods, residential construction, consumers' outlook, and financial conditions point to increasing downside risks to the economic recovery," Ozyildirim said.
He added, "Looking ahead to 2021, the LEI suggests that the US economy will start the new year under substantially weakened economic conditions."
The report said the coincident economic index also rose by 0.6 percent in August after jumping by 1.2 percent in July and soaring by 3.9 percent in June.
Meanwhile, the lagging economic index fell by 0.6 percent in August, matching the decrease seen in the previous month. The lagging index plunged by 3.5 percent in June.
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