sending its yearly growth rate to a two-year high that suggests a near-term
end to the recession, a research group said on Friday.
The Economic Cycle Research Institute, a New York-based
independent forecasting group, said its Weekly Leading Index
rose to 118.5 for the week ended July 3 from a downwardly
revised 117.4, which ECRI initially reported at 117.6 in the
prior period.
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The index's annualized growth rate plowed further into
positive territory to a two-year high of 5.4 percent, from 3.9
percent the week prior, which was revised lower from 4.0
percent.
It was the highest annual growth rate the gauge has seen
since the week to July 20, 2007, when it read 5.7 percent.
ECRI Managing Director Lakshman Achuthan has previously
said that recovery is likely before the year's end, echoing
hopes that economic data will continue weakening at a slower
pace.
"It is increasingly evident that, despite widespread
misgivings based on backward-looking economic data, the end of
recession is at hand," said Achuthan.
The weekly index rose in the week due to
lower-than-expected jobless claims and stronger housing
activity, according to Achuthan.
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