Economic indicators suggest receded recession risk (by Ruth Mantell)
WASHINGTON (MarketWatch) -- Data suggest that the risk of recession has receded, the Conference Board said Friday as it reported that its index of leading economic indicators grew 0.9% in October - the largest growth since February -- led by gains in building permits. The index "is pointing to continued growth this winter, possibly even gaining a little momentum by spring," said Ken Goldstein, a Conference Board economist, in a statement. Economists polled by MarketWatch had expected growth of 0.7%. The Conference Board revised September's result down to 0.1% growth from a prior estimate of a 0.2% gain. The LEI is a weighted gauge of 10 indicators that are designed to signal business cycle peaks and troughs. Among the 10 indicators that make up the LEI, nine made positive contributions in October, led by building permits, the interest-rate spread, and average weekly manufacturing hours. The only negative contribution came from faster supplier deliveries.