Widget Image
Follow PPD Social Media
Sunday, June 16, 2024
HomeNewsEconomyChicago Fed National Activity Index (CFNAI) Indicates Economy Grew Again in June

Chicago Fed National Activity Index (CFNAI) Indicates Economy Grew Again in June

U.S. economy on an American flag background waving in the wind, in 3D rendering. (Photo: AdobeStock)

CFNAI Further Rebounds, Led By Production and Employment

The Chicago Fed National Activity Index (CFNAI) rose to 4.11 in June from 3.50 in May, fueled again by improvements in production- and employment-related indicators. The second month of better than expected results indicate economic growth rebounded strongly post-shutdown.

The CFNAI is a weighted average of 85 indicators of growth in national economic activity derived from four broad categories: 1) production and income; 2) employment, unemployment, and hours; 3) personal consumption and housing; and 4) sales, orders, and inventories.

Three of the four broad categories of indicators used to construct the index made positive contributions in June. Two of the four categories increased from May. The index’s three-month moving average, CFNAI-MA3, rose to –3.49 in June, up from –6.36 in May.

The CFNAI Diffusion Index — also a three-month moving average — rose to a neutral value in June from –0.45 in May. Fifty-four (54) of the 85 individual indicators made positive contributions to the CFNAI in June, while 31 made negative contributions. Fifty-one (51) indicators improved from May to June, while 34 indicators worsened.

Of the indicators that improved, 14 made negative contributions.

Written by

PPD Business, the economy-reporting arm of People's Pundit Daily, is "making sense of current events." We are a no-holds barred, news reporting pundit of, by, and for the people.

No comments

leave a comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

People's Pundit Daily
You have %%pigeonMeterAvailable%% free %%pigeonCopyPage%% remaining this month. Get unlimited access and support reader-funded, independent data journalism.

Start a 14-day free trial now. Pay later!

Start Trial