Wednesday, October 22nd9.4°C
23840
23372

Gauge of US economy's health edges up 0.2 per cent in October after 2 months of big gains

WASHINGTON - A measure of the U.S. economy's health improved in October, suggesting consumers and businesses mostly shrugged off the 16-day partial government shutdown.

The Conference Board said Wednesday that its index of leading indicators rose 0.2 per cent in October to a reading of 97.5. It was the sixth gain in seven months and followed large gains in the previous two months.

The index is designed to signal economic conditions over the next three to six months.

Kathy Bostjancic, an economist with the Conference Board, said the recent gains point to stronger growth next year. The Conference Board forecasts that the economy will grow 2.3 per cent in 2014, up from the anticipated 1.6 per cent growth for this year.

The index is comprised of indicators, most of which have already been released individually. Seven of the 10 indicators showed positive readings in October. Low interest rates and a rise in applications for building permits were the strongest.

The October index was held back by a slump in consumer confidence and rise in weekly unemployment benefit applications.

The Labor Department has said that unemployment benefit applications fell last month because of unusual circumstances: the partial government shutdown temporarily laid off some workers, and backlogs in California distorted claims for the nation's largest state.

Unemployment benefit applications have since fallen back to pre-recession levels. On Thursday, Labor said applications dropped 10,000 last week to a seasonally adjusted 316,000, a two-month low.

Cooper Howes, an economist at Barclays, said consumer confidence should also improve as the impact of the government shutdown fades.

The University of Michigan's index of consumer sentiment increased to a final reading of 75.1 for November, up from the preliminary reading of 72.0.

The Canadian Press


Read more Business News

23825


Recent Trending




Today's Market
S&P TSX14312.07-235.64
S&P CDNX808.00-14.28
DJIA16461.32-153.49
Nasdaq4382.847-36.632
S&P 5001927.11-14.17
CDN Dollar0.8886-0.0009
Gold1243.30-2.20
Oil80.06-0.07
Lumber330.40+1.70
Natural Gas3.657-0.002

 
Okanagan Companies
Pacific Safety0.12+0.02
Knighthawk0.01-0.005
QHR Technologies Inc1.15-0.02
Cantex0.055-0.025
Anavex Life Sciences0.198+0.006
Metalex Ventures0.05+0.005
Russel Metals32.53-0.56
Copper Mountain Mining2.10-0.07
Colorado Resources0.145-0.005
ReliaBrand Inc0.013+0.001
Sunrise Resources Ltd0.05-0.01
Mission Ready Services0.405-0.055

 



23833

FEATURED Property
2031671573 Harrogate Lane
4 bedrooms 4 baths
$726,900
more details
image2image2image2
Click here to feature your property
Please wait... loading


Keep it rubber side down

This time of year, I always worry about which friends of mine will get caught going off the road in adverse weather conditions. With a little preparation most accidents can be avoided. Having won the...


Big bank predicts rate hike

Photo: Thinkstock.comThe end of record-low rates is nigh, according to one major bank, which has taken a stance and predicted when the Bank of Canada will raise its long-standing overnight rate. &ldq...


Experts share strategies in Kelowna

The third week in October is “Small Business Week”, a week dedicated to supporting local, small businesses. The week was designed to bring awareness to Canadians about the role small busin...

_








Member of BC Press Council


22771