WASHING TON: The leading economic index rose 0.3% in March, and while it was the smallest increase since last September, the gauge also showed little reason to be worried.
The index “points to continued solid growth in the U.S. economy for the rest of the year,” said Ataman Ozyildirim, a senior economist at the Conference Board, publisher of the report.
What happened: A measure of current economic conditions rose 0.2%. A “lagging” index that looks back at the recent past edge up 0.1%.
Several indicators of labor-market health softened a bit, but that likely reflects seasonal distortions caused by the Easter holiday. By virtually every measure the U.S. labor market is strong now than it’s been at least since the late 1990s.
Big picture: The U.S. economy took a sideways step in the first quarter largely because Americans reduce spending after the Christmas holiday season. But growth is expected to forge ahead in the spring and summer, aided by recent tax cuts, higher government spending and the strongest labor market a long time.
One caveat: Investors and businesses are worried about the threat of a full-blown trade war if the Trump administration continues its aggressive approach in dealings with China, Mexico and other countries.
