The latest composite leading indicator readings point to a slowing in the pace of economic activity in major economies, according to the Organization for Economic Co-operation and Development (OECD).
The Paris-based OECD’s composite leading indicators (CLIs), which are designed to anticipate turning points in economic activity relative to trend, point to an easing of economic activity in most major OECD economies and a more marked slowdown in most major non-OECD economies.
The OECD said Monday that the indicators for Canada, France, Germany, the United Kingdom, and the euro area as a whole, continue to point towards economic activity below long-term trend. In Italy, the indicator points more strongly to a slowdown. The indicators for Japan, the United States, and Russia, remain above long term trend but continue to point to dissipating momentum, especially in the case of Russia, the OECD says.
The indicators for China and India point strongly to a slowdown with economic activity falling below long-term trend, while Brazil’s indicator continues to point to economic activity returning towards long-term trend, but the OECD says its growth appears to be at a weaker intensity than in last month’s assessment.