The index of leading indicators, which is supposed to forecast the evolution of economic activity in the United States, fell more sharply than expected in April, according to the Conference Board, which sees this as a sign of a slowdown in the economy.

The precursor index dropped by 0.6% to 101.8 last month, after having already fallen by 0.3% in March, whereas analysts were expecting a more limited decline of around 0.3%.

ConfBoard explains the deterioration in the index by the worsening of consumer sentiment, weak business order intake and a drop in building permits, as well as the stock market correction in April.

The trade organization thus predicts a slowdown in US economic growth, which it expects to fall below 1% in the third quarter compared to the second.

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