Chicago Fed: Economic Growth Increased in May

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 CFNAI is a forward-looking indicator that suggests how the economy will likely look in the near term and has been called one of the "most important and overlooked economic indicators". 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.

The headline for the latest release of the Chicago Fed's National Activity Index (CFNAI) reads "Index suggests economic growth increased in May". The CFNAI rose to +0.18 in May from -0.26 in April. Three of the four broad categories of indicators used to construct the index increased from April and two categories made positive contributions in May.