Research >> Economics
Chicago Fed National Activity Moderated in December
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Led by declines in production-related indicators, the Chicago Fed National Activity Index (CFNAI) decreased to +0.02 in December from +0.27 in November. Two of the four broad categories of indicators that make up the index decreased from November, and only two of the four categories made positive contributions to the index in December.
The index’s three-month moving average, CFNAI-MA3, edged up from –0.13 in November to –0.11 in December—its tenth consecutive reading below zero. December’s CFNAI-MA3 suggests that growth in national economic activity was below its historical trend. The economic growth reflected in this level of the CFNAI-MA3 suggests subdued inflationary pressure from economic activity over the coming year.
The CFNAI Diffusion Index also moved up in December, increasing to –0.05 from –0.12 in November. Forty-one of the 85 individual indicators made positive contributions to the CFNAI in December, while 44 made negative contributions. Thirty-six indicators improved from November to December, while 48 indicators deteriorated and one was unchanged. Of the indicators that improved, 17 made negative contributions.
Posted: January 22, 2013 Tuesday 08:30 AM