South Africa’s leading index increased in June after falling to a 66-month low in the previous month, survey figures from the South African Reserve Bank showed Tuesday.
The composite leading business cycle indicator rose 0.6 percent month-over-month to 94.0 in June from 93.4 in May, which was the lowest level since November 2009.
On an annual basis, the measure declined 2.7 percent in June, compared to a 3.5 percent drop in the previous month.
Among the nine components, four contributed positively to the index, while five decreased in June.
The largest positive contribution to the index came from a rise in the number of residential building plans passed followed by a further widening in the interest rate spread.
At the same time, the biggest negative contribution came from a deceleration in the composite leading business cycle indicator for major trading-partner countries followed by a decline in the US dollar based export commodity price index.
The coincident index decreased 0.7 percent to 114.0 in May from 114.9 in the prior month. The lagging index declined 1.1 percent to 104.0 in May from 105.1 in April.
On an annual basis, the coincident measure remained stable in May, while the lagging index declined 0.7 percent.
The material has been provided by InstaForex Company – www.instaforex.com