The Montreal Gazette recently reported on a Organization for Economic Co-operation and Development (OECD) report that forecasted a milder economic slowdown in Canada when compared to other G7 countries. The report forecasts "a weakening outlook for all the major seven economies."
The OECD report uses something called a Composite Leading Indicator (CLI). Leading indicators are economic variables that provide some insight into future changes in Gross Domestic Product (GDP). The CLI pulls together a number of short-term leading indicators that together forecast turning points in economic activity.
The CLI across G7 countries dropped 3.4 points from last year, three times more than the 1.1 point decline seen in Canada.
You can find the complete OECD report here.
May 16, 2008Market |