The Conference Board Leading Economic Index®(LEI) for the Euro Area declined 0.5 percent in March to 108.3 (2004 = 100), following a 0.9 percent increase in February and a 0.7 percent increase in January.

Said Jean-Claude Manini, The Conference Board Senior Economist for Europe: “Widespread declines in the leading indicators led to the first drop in The Conference Board LEI for the Euro Area in five months. In March, the only positive contribution to the index came from the interest rate spread, but it did not offset the weaknesses in the other components. Current economic conditions remain on a more moderate trend, and accelerating inflation and austerity measures will weigh on domestic demand and dampen growth through the remainder of 2011.”

Meanwhile, The Conference Board Coincident Economic Index®(CEI) for the Euro Area, which measures current economic activity, remained unchanged in March. The index stands at 103.1 (2004 = 100) according to preliminary estimates*. The CEI increased 0.1 percent in February, following a 0.1 percent increase in January.

About The Conference Board Leading Economic Index® (LEI) for the Euro Area

The Conference Board Leading Economic Index® for the Euro Area was launched in January 2009. Plotted back to 1987, this index has successfully signaled turning points in the business cycle of the bloc of countries that now constitute the Euro Area, defined by the common currency zone.