China's Leading Index Dropped from 1.7% to 0.3%

Data released Wednesday night shows a decline in China's Leading Index from 1.7% to 0.3%, as shown on the graph below.

Since this index is designed to predict the direction of the economy and is a combined reading of six economic indicators related to total loans issued, raw material supplies index, new orders, consumer expectations, export orders, and housing, it's an important index to monitor, particularly since this latest reading is one of the lowest since May of 2010.