The Conference Board Leading Economic Index® (LEI) for India decreased 0.5 percent in September to 102.5 (2010 = 100), following a 0.5 percent decline in August and a 1.7 percent increase in July. Positive contributors to the index were the interest rate spread, M3: bank credit to commercial sector, and cargo handled*. The SENSEX stock prices index, the real effective exchange rate (36 countries), merchandise exports, and PMI: services business activity declined, while industrial production: capital goods* remained unchanged.
"The Leading Economic Index for India fell in September for the second consecutive month, led by declining stock prices, a sliding exchange rate, and a pull back in exports and the service sector," said Jing Sima, Senior Economist at The Conference Board. "Despite further easing of monetary policy, India will continue facing challenges in the near future from both tepid domestic demand and a slower global growth climate."
www.conference-board.org