Chicago Fed: Slower Economic Growth in August
The headline for this morning's release of the Chicago Fed's National Activity Index (CFNAI) reads "Index suggests slower economic growth in August".
The Chicago Fed National Activity Index (CFNAI) fell to -0.16 in August from +0.07 in July. Two of the four broad categories of indicators used to construct the index decreased from July. All four categories made negative contributions in August. For a more detailed perspective on long-term economic trends, see our latest Understanding the CFNAI Components.
Background on the Chicago Fed National Activity Index (CFNAI)
The Chicago Fed's National Activity Index is a monthly indicator designed to gauge overall economic activity and related inflationary pressure. It is a composite of 85 monthly indicators as explained in this background PDF file on the Chicago Fed's website. The index is constructed so a zero value for the index indicates that the national economy is expanding at its historical trend (average) rate of growth. Negative values indicate below-average growth, and positive values indicate above-average growth.