OECD Indicators Show Global Expansion Continuing Mar 10, 2010

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OECD composite leading indicators (CLIs) in January 2010 continued to signal an improvement in economic activity for the G7 countries, although only marginally more so than in the assessment for December.

The CLIs for Brazil and India point to a recovery, which may nevertheless lose momentum. By contrast, economic activity is projected to continue to expand in China and Russia.

The CLI for the OECD area increased by 0.8 point in January 2010 and was 11.3 points higher than in January 2009, the increase was spread evenly among CLIs of the United States (increase of 11.0 points year-on-year), the Euro area (12.5 points higher) and Japan (10.7 points higher). The CLI for China increased by a mere 0.1 point in January 2010 compared with the previous month.

The Organisation for Economic Co-operation and Development (OECD) defines growth cycle phases of the CLI as follows:
• expansion (increase above 100)
• downturn (decrease above 100)
• slowdown (decrease below 100)
• recovery (increase below 100).

OECD-Total includes these 29 countries:

• Australia
• Austria
• Belgium
• Canada
• Czech Republic
• Denmark
• Finland
• France
• Germany
• Greece
• Hungary
• Ireland
• Italy
• Japan
• Korea
• Luxembourg
• Mexico
• Netherlands
• New Zealand
• Norway
• Poland
• Portugal
• Slovak Republic
• Spain
• Sweden
• Switzerland
• Turkey
• United Kingdom
• United States

G7 area includes:

• Canada
• France
• Germany
• Italy
• Japan
• United Kingdom
• United States

The Euro area (only Euro area countries that are members of OECD) includes:

• Austria
• Belgium
• Finland
• France
• Germany
• Greece
• Italy
• Ireland
• Luxembourg
• Netherlands
• Portugal
• Slovak Republic
• Spain

The Major Five Asia area includes:

• China
• India
• Indonesia
• Japan
• Korea

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