NEW YORK — Although a key gauge of economic activity fell 0.2 percent in February, the U.S. economy so far has avoided slipping into a recession, the Conference Board said Thursday.
The New York-based private research group said its Index of Leading Economic Indicators decreased to 108.8 last month after increasing a revised 0.5 percent in January.
While the leading index declined in four of the past five months, it has not fallen enough to signal a recession, the group said.
Nonetheless, the Conference Board provided little encouragement that the economy would rebound any time soon.
"The Leading Economic Index suggests that this period of slower growth will probably continue for the next few months," said Ken Goldstein, economist for the Conference Board.
Other economists agreed, saying the report comes as no surprise and that it simply confirms that the economy is weak.
"The Leading Economic Index is basically telling us what we already know," said Bruce Steinberg, chief economist at Merrill Lynch. "Despite the declines in the index, the economy is growing, although very slowly."
In a separate report released Thursday, the Labor Department reported that new claims for state unemployment insurance dipped last week but still hovered at a level suggesting that employers' demand for workers has eased.
The markets plummeted again in early trading following the release of the reports. The Dow Jones industrial average was off 276.04 at 9,210.96 — joining the other major market indicators in bear market territory — more than 20 percent off its high. The NASDAQ composite index fell 24.29 to 1,805.94.
The index of lagging indicators, which reflects changes that have already occurred, decreased 0.4 percent in February to 107.1.