INDEX OF LEADING ECONOMIC INDICATORS FALLS IN AUGUST

The Conference Board's Index of Leading Economic Indicators includes the following:

*Real money supply (M2)
*Index of consumer expectations
*Average weekly initial claims for unemployment insurance
*Stock prices
*Building permits
*Vendor performance
*Manufacturers' new orders for nondefense capital goods
*Interest rate spread
*Manufacturers' new orders for consumer goods and materials
*Average weekly manufacturing hours

It is considered a good indicator for economic performance for the next three to six months.

From The New York Times:

The index of leading economic indicators fell in August by the most in six months, reflecting lower consumer confidence and a rise in initial claims for unemployment insurance.

The indicators index, compiled by the Conference Board, declined 0.6 percent, more than forecast, after a 0.7 percent increase in July that was larger than initially reported, the group, based in New York, said yesterday. The index points to the direction of the economy over the next three to six months.

The data underlined concerns that the economy might be in danger of stalling as a real estate slump, tougher lending standards and a recently softer job market threaten consumer spending.