US: Leading Economic Index consistent with yesterday’s FOMC statement - Wells Fargo

The Leading Economic Index (LEI) for February released today was better than expected and is consistent with the official statement released by the Fed yesterday afternoon, according to analysts at Wells Fargo. 

Key Quotes: 

“The top contributors to the headline improvement in the LEI came from the labor market indicators. The average work week was the top contributor, followed by jobless claims which tied with ISM new orders for the number two spot.”

“The Leading Index has not posted a decline in over a year and a half, but unlike last month in which all components were positive, there were a few misses this time.”

“A decline in the number of new permits pulled by homebuilders resulted in the larger of the two drags this month."

“The give-back in stock prices that occurred during a run of volatile trading sessions in February was the other drag.”