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Strategies & Market Trends : John Pitera's Market Laboratory

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To: MulhollandDrive who wrote (3768)4/18/2001 3:00:07 PM
From: John Pitera  Read Replies (1) of 33421
 
I agree just look at the decline in the index of leading economic indicators today

The March index of leading indicators came in with the expected 0.3% decline following an unrevised 0.2% fall in February. Stock prices provided the largest drag though the rise in unemployment claims and vendor performance aided the decline. Money growth provided a large positive contribution. Of the ten components: six fell, three rose as the factory workweek was unchanged.
The index has been sending recession signals since the middle of last year as the May-Aug and Oct-Dec strings of steady declines and the -1.5% six-month growth decline all are consistent with recessions in the past. The March decline pulls the 6mo growth back below 1% -- again waving a recession warning flag.
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