Composite Index of Coincident Indicators


DEFINITION of 'Composite Index of Coincident Indicators'

An index published by the Conference Board that is a broad-based measurement of current economic conditions, helping economists and investors to determine which phase of the business cycle the economy is currently experiencing.. The Composite Index of Coincident Indicators comprises four cyclical economic data sets:

1. the number of employees on non-agricultural payrolls (released by the Bureau of Labor Statistics)
2. the Index of Industrial Production
3. the level of manufacturing and trade sales
4. the aggregate amount of personal income excluding transfer payments

BREAKING DOWN 'Composite Index of Coincident Indicators'

The Composite Index of Coincident Indicators is widely used by all kinds of investors to judge the economy's current position in the business cycle. The index is often used also as a confirmation tool in conjunction with the Composite Index of Leading Indicators.

  1. Business Cycle

    The fluctuations in economic activity that an economy experiences ...
  2. Lagging Indicator

    1. A measurable economic factor that changes after the economy ...
  3. Business Cycle Indicators - BCI

    Composite of leading, lagging and coincident indexes created ...
  4. Composite Index of Leading Indicators

    An index published monthly by the Conference Board used to predict ...
  5. The Conference Board

    A not-for-profit research organization for businesses that distributes ...
  6. Leading Indicator

    A measurable economic factor that changes before the economy ...
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