The ISM non-manufacturing report comprises largely, but not exclusively, the service sector activities that make up the lion's share of total U.S. economic output. Index readings over 50 indicate growth.

The LEI is a weighted gauge of 10 indicators that are designed to signal business cycle peaks and troughs.

The Leading Indicators report is, for the most part, a compendium of previously announced economic indicators: new orders, jobless claims, money supply, average workweek, building permits, and stock prices.

Therefore, the report is extremely predictable and of very little interest to the market. Though this series does have some predictive qualities, it is a common criticism that it has predicted "nine of the last six" recessions.

The Commerce Department recently privatized the leading indicators series. The collection and publishing of these data is now done by the non-profit Conference Board, which also produces the consumer confidence index.

CFNAI