The Conference Board Leading Economic Index® (LEI) for Korea Declines

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Sep 14, 2010, 09:00 ET

NEW YORK, Sept. 14 /PRNewswire/ -- The Conference Board Leading Economic Index® (LEI) for Korea declined 0.7 percent in July to 115.4 (2004 = 100), following a 0.2 percent decline in June, and a 0.9 percent increase in May

At the same time, The Conference Board Coincident Economic Index® (CEI) for Korea, a measure of current economic activity, rose 0.6 percent in July to 113.0 (2004 = 100), following no change in June and a 0.7 percent increase in May.

The Conference Board LEI for Korea declined for the past two months, and its six-month growth rate has slowed sharply this year. Meanwhile, The Conference Board CEI for Korea remains on a rising trend, and its growth rate has picked up in the last six months. Taken together, the current behavior of the leading economic index and its components suggest that the economy will continue to grow, albeit at a modest pace in the near term.

About The Conference Board Leading Economic Index® (LEI) for Korea

The composite economic indexes are the key elements in an analytic system designed to signal peaks and troughs in the business cycle. The leading and coincident economic indexes are essentially composite averages of several individual leading or coincident indicators. They are constructed to summarize and reveal common turning point patterns in economic data in a clearer and more convincing manner than any individual component – primarily because they smooth out some of the volatility of individual components.

The seven components of The Conference Board Leading Economic Index® for Korea include:

Stock Prices

Value of Machinery Orders

Letter of Credit Arrivals

Index of Shipments to Inventories

Export FOB

Yield of Government Public Bonds

Private Construction Orders

For more information including full press release and technical notes: http://www.conference-board.org/data/bcicountry.cfm?cid=6

For more information about The Conference Board global business cycle indicators: http://www.conference-board.org/data/bci.cfm

About The Conference Board

The Conference Board is an independent business membership and research association working in the public interest. Our mission is unique: To provide the world's leading organizations with the practical knowledge they need to improve their performance and better serve society. The Conference Board is a non-advocacy, not-for-profit entity holding 501(c)(3) tax-exempt status in the United States. www.conference-board.org.

SOURCE The Conference Board