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These should be a lead indicator for the real economy.
Insofar as what manufacturers see as likely future demand is a lead indicator for output, this bodes well.
He sees this index, which slumped in late 2007 and started to rebound in late 2008, as a lead indicator for Chinese activity.
Analysts at Credit Suisse said: With the strong pick-up in nickel prices (lead indicator for stainless demand), rising stainless prices in Europe and potential supply risk in South Africa (strike risk spreading) we expect the fourth quarter to be a trough for prices and, given very weak recent performance, ENRC shares could see improved momentum near term.
But this link is of little use to investors, who are looking instead for a lead indicator for equity performance.Goldman argues that investors can take advantage of upgrades in economic-growth forecasts, which signal better prospective returns especially in the developing world.
Studies show that design award reception is a lead indicator for stock performance and that companies consistently winning awards outperform their non-winning peers by four percent annually.
Similar(54)
The Realtors' Commercial Leading Indicator for Brokerage Activity measures future commercial activity based on 13 variables — including job growth, unemployment claims, wholesale and retail sales and prices of real estate investment trusts – and it says that right now the broad recovery in commercial markets is expected to continue for the next six to nine months.
Leading indicators like China's macro index is certainly a leading indicator for our stock market but so far the blue line is an unwavering upward V.
(Friday.) Economic Indicators -- Leading indicators for May (Monday); jobless claims for the week of June 13-18 and home resales for May (Thursday); and durable-goods orders and new-home sales for May (Friday).
ET: Leading Indicators for January.
Nevertheless, we expect companies to exceed estimates by the typical margin of about 3% for several reasons: –Leading indicators of profit growth, like the Institute for Supply Management's Purchasing Managers Index, rose steadily throughout the quarter, and exports were boosted by the declining dollar, with a commensurate rise in analysts' estimates of profits.
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