Chicago Fed Index Shows Accelerated Growth in September

The economy expanded faster in September, according to a key growth barometer. The Federal Reserve Bank of Chicago’s national activity index climbed to 0.07 in September, from minus 0.08 in August. Readings above zero indicate that the U.S. economy is expanding above its historical average trend rate. Indicators related to production and income led the index higher. Those linked to sales, orders, and inventories also boosted the index. Employment-related indicators came in neutral for the month, indicating that they neither lifted nor depressed the index in September. The personal consumption and housing category was a drag on the index. In August, this category had been a positive contributor. The index’s three-month moving average increased to 0.03 in September from 0.01 in August.