A key barometer of the US economic outlook fell for the fourth month in a row in September, raising fears about the recovery, the Conference Board said today.
The private research group's composite index of leading economic indicators, which aims to predict economic activity in the coming months, fell 0.2% in September from the previous month. The index, based on a basket of data such as new housing projects, had dropped 0.1% in August.
'Four consecutive declines in the leading economic indicators once again raises the question of a double dip', the Conference Board said. But 'a stalling out of growth is a more reasonable prospect than the economy falling back into recession,' it added.
A separate coincident index of current economic activity was unchanged in September after rising 0.1% in August. A lagging index of past economic activity fell 0.6% in September after a 0.1% drop in August.
'Except for the financial markets, there is little evidence of a developing economic decline - a fact borne out by the coincident indicators,' the Board said.
