CHICAGO (Dow Jones) – Economic activity in the US improved significantly in May, indicating a recovery from the deep plunge following the pandemic. The Chicago Fed National Activity Index (CFNAI) rose to 2.61, the Federal Reserve Bank of Chicago said. The index level was revised to minus 17.89 in April after a value of minus 16.74 was given. If the value is below minus 0.35, it means that the economy is shrinking.
The more meaningful three-month moving average also improved and stood at minus 6.65 in May. A revised value of minus 7.50 was reported for April after a level of minus 7.22 had previously been reported.
A CFNAI of zero signals economic growth at historical trend levels. If the index is negative, this indicates an expansion below the historical trend level, a positive value indicates growth above it.
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(END) Dow Jones Newswires
June 22, 2020 08:45 ET (12:45 GMT)