by Calculated Risk on 6/23/2011 03:22:00 PM
Thursday, June 23, 2011
Chicago Fed: Economic growth remained below average in May
No surprise (this is a composite index) ... from the Chicago Fed: Index shows economic growth remained below average in May
The index’s three-month moving average, CFNAI-MA3, declined to –0.19 in May from –0.15 in April, remaining negative for a second consecutive month and reaching its lowest level since November 2010. May’s CFNAI-MA3 suggests that growth in national economic activity was below its historical trend. With regard to inflation, the CFNAI-MA3 suggests subdued inflationary pressure from economic activity over the coming year.This graph shows the Chicago Fed National Activity Index (three month moving average) since 1967.
![Chicago Fed National Activity Index](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgXNOmlimd8gOb70zpHzzsJpFEYqgVkHuMVPcb7cxR0OoxLA5zFhWs-EScWsJVRQ28tTJGx5apPbsHTLmkGuthM4QTo0GwEZ2pLeBp2IcZEAxnwatn1KBlQQpW1Bm1pwcWWgAipwQ/s320/ChicagoFedMay2011.jpg)
According to the Chicago Fed:
A zero value for the index indicates that the national economy is expanding at its historical trend rate of growth; negative values indicate below-average growth; and positive values indicate above-average growth.This index suggests the economy was still growing in May, but below trend.