LEI Rises 0.5% in May

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he index of leading economic indicators rose 0.5% in May, the 13th increase in the past 14 months, the Conference Board reported Thursday.

The data reflect a robust economic environment this spring and point to more of the same this summer," Conference Board Economist Ken Goldstein said in a statement. "This confluence of economic strengths is a recipe for continued job gains, and possibly a little more inflation."

The LEI is closely watched by trucking companies because it forecasts business activity for the next three to six months. Economists had projected a 0.4% increase in the index, Bloomberg reported.

Eight of the 10 indicators that the Conference Board uses to derive the index contributed to the rise including an increase in factory orders for consumer goods and orders for non-defense capital goods.

Only a drop in consumer confidence and stock prices were a drag on the index.

The index of coincident indicators, a gauge of current economic activity, rose 0.3% in May, the same as the prior month. The index tracks payrolls, incomes, sales and production.

The index of lagging indicators rose 0.1% last month, also the same as in April.

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