Skip to main content
Advertising

Originally published August 21, 2014 at 9:32 AM | Page modified August 21, 2014 at 11:33 AM

  • Share:
             
  • Comments
  • Print

Gauge of US economy rises 0.9 percent in July

A gauge designed to predict the economy's future health posted the sharpest advance in four months in July, indicating the economy is gaining traction headed into the last half of the year.


AP Economics Writer

advertising

WASHINGTON —

A gauge designed to predict the economy's future health posted the sharpest advance in four months in July, indicating the economy is gaining traction headed into the last half of the year.

The Conference Board said Thursday that its index of leading indicators rose 0.9 percent last month, the sixth straight increase and the best showing since a 1 percent rise in March. The index, composed of 10 forward-pointing indicators, had risen 0.6 percent in June.

Financial market conditions, a big rise in applications for building permits and falling applications for unemployment benefits were the biggest sources of strength in July.

The index was held back by a drop in average weekly hours in manufacturing and weaker orders for civilian capital goods.

"The pace of economic activity remained reasonably strong in July," said Conference Board economist Ken Goldstein. "Although retail sales were a little disappointing, hiring and industrial activity improved."

Goldstein said the stronger gain in the leading index in July along with an acceleration in economic growth in the second quarter pointed to solid growth in coming months.

The economy, which shrank in the first quarter, reflecting in part a harsh winter, posted a robust rebound in the April-June period, growing at a seasonally adjusted annual rate of 4 percent.

Many economists are looking for the economic momentum to continue with growth around 3 percent in the current July-September quarter and in the last three months of this year.



Free 4-week trial, then $99 a year for unlimited seattletimes.com access. Try it now!

Also in Business & Technology

News where, when and how you want it

Email Icon

The Seattle Times wins top award for multimedia storytelling

The Seattle Times wins top award for multimedia storytelling

Our Sea Change series received a prestigious 2015 DuPont-Columbia award for showcasing the power of storytelling on the Web. Experience the report here.

Advertising

Advertising


Advertising
The Seattle Times

The door is closed, but it's not locked.

Take a minute to subscribe and continue to enjoy The Seattle Times for as little as 99 cents a week.

Subscription options ►

Already a subscriber?

We've got good news for you. Unlimited seattletimes.com content access is included with most subscriptions.

Subscriber login ►
The Seattle Times

To keep reading, you need a subscription upgrade.

We hope you have enjoyed your complimentary access. For unlimited seattletimes.com access, please upgrade your digital subscription.

Call customer service at 1.800.542.0820 for assistance with your upgrade or questions about your subscriber status.

The Seattle Times

To keep reading, you need a subscription.

We hope you have enjoyed your complimentary access. Subscribe now for unlimited access!

Subscription options ►

Already a subscriber?

We've got good news for you. Unlimited seattletimes.com content access is included with most subscriptions.

Activate Subscriber Account ►