R.I. leading indicators rise 0.2% in December as economy slows

PROVIDENCE – Rhode Island’s leading economic indicator index rose 0.2 percent in December, after advancing 0.3 percent in November, according to the Providence Business News/e-forecasting.com Leading Economic Indicator Index.
November’s data was revised, as the indicator for that month initially was reported as showing a 0.7 percent increase.
This was the fifth consecutive month in which the percentage gain did not surpass the previous month’s figure. The overall reading for the Ocean State’s early bird of economic activity was 130.2. A reading of 100 on the report is equal to the state’s activity in 2000.
Five of the nine components that make up Rhode Island’s leading indicator had a positive contribution in December: weekly manufacturing hours, regional consumer expectations, national stock prices, interest rate spread and national orders index. Four of the nine components had a negative contribution: unemployment claims, building permits, exports of manufactures and state employment barometer.

Looking at its six-month growth rate, described as “a signal of turning points,” Rhode Island’s leading indicator rose 5.1 percent in December, after an increase of 5.5 percent in November. This compares with a long-term annual growth rate of 1.8 percent, the same as the annual growth rate of the state’s overall economic activity.

Nationally, the leading indicator in December declined 0.1 percent, for an index of 106.2 – on this index, a reading of 100 was equivalent to national activity in 2005.

No posts to display