ECRI Leading Indicator: Yellow Flags Are Turning Red
by: Parsimony Investment Research
June 14, 2011
Lakshman Achuthan of the Economic Cycle Research Institute (“ECRI”) (go here for details) was recently on CNBC discussing the ECRI’s outlook for growth. The ECRI monitors leading indicators to indentify turning points in the economic cycle. ECRI has had a strong track record for identifying turning points, thus their warnings should be taken seriously.
Mr. Achuthan was on CNBC in early May stating that the ECRI was seeing large yellow flags on the horizon. Today, based on the leading indicators that the ECRI tracks it is seeing those yellow flag turn red (CNBC: ECRI Global Outlook).