A leading economic indicator that is closely tracked on Wall Street is pointing to a U.S. recession starting in the coming months.
The Conference Board said in a news release that its Leading Economic Index, which anticipates future economic activity, fell for a 15th consecutive month in June, dragged lower by a weakening consumer outlook and increased unemployment claims.
The Economic Index is now at its longest streak of decreases since the 2007-2009 recession that was caused by the global financial crisis.
The New York-based Conference Board said the Leading Economic Index declined by 0.7% in June to 106.1, following a revised decrease of 0.6% in May.
The June result was worse than a 0.6% decrease forecast by analysts.
The Conference Board reaffirmed its forecast that the U.S. economy is likely to enter a recession between the current third quarter of 2023 and the first quarter of 2024.
The Conference Board noted that the decrease in its Leading Economic Index is accelerating, declining 4.2% over the last six months compared to 3.8% between June and December 2022.
