Leading Economic Index (LEI)

The Leading Economic Index (LEI) is a composite of ten economic indicators that help predict the future performance of the economy. It includes factors like employment rates, consumer confidence, and stock market trends. By analyzing these indicators, the LEI aims to signal turning points in the economy—such as growth or recession—before they happen. Policymakers, businesses, and investors often use the LEI to make informed decisions about spending and investment, as it provides insight into potential economic changes three to six months in advance.