Economic Growth Moderates In October, Chicago Fed National Activity Index Shows

Economic growth moderated in October, according to the Chicago Fed national activity index released Monday. The index fell to 0.14 from 0.29 in September. The three-month average declined to negative 0.01 from positive 0.12 in the prior month. The index, a weighted average of 85 different economic indicators, is designed so that readings above zero indicate above-trend growth. When the three-month average exceeds 0.7, there's an increasing likelihood of sustained increasing inflation, and when it's below negative 0.7, there's an increasing likelihood a recession has begun.

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