The ECRI says their weekly leading indicator of U.S. economic growth rose for the seventh straight week. Meanwhile, the annual growth rate of the metric stabilized at 13.1% after 12 weeks of declines. Although they say this is likely forecasting a slow-down in economic growth in the coming months it still rules out any potential double dip:
“The Economic Cycle Research Institute, a New York-based independent forecasting group, said its Weekly Leading Index rose to 130.9 for the week ended March 12, up from 130.4 the previous week, which was revised down from an original 130.6.”
ECRI Managing Director Lakshman Achuthan said:
“Double dip fears remain unfounded, but with WLI growth remaining in a cyclical downtrend, U.S. economic growth will soon begin to throttle back.”
Mr. Roche is the Founder and Chief Investment Officer of Discipline Funds.Discipline Funds is a low fee financial advisory firm with a focus on helping people be more disciplined with their finances.
He is also the author of Pragmatic Capitalism: What Every Investor Needs to Understand About Money and Finance, Understanding the Modern Monetary System and Understanding Modern Portfolio Construction.