World economic indicator is a compilation of macroeconomic indicators, reports from government, and independent enterprise reports that reflect the economic condition in the country.
These parameters are made public at specific times and give the market information about the economic condition. Here are basic US economic indicators.
Consumer Price Index allows dynamic analysis of the volume and value of goods and services in the basket.
Foreign exchange and gold are assets with high liquidity that are held by the central banks or international financial institutions. This indicator shows the country’s reserves, which can be used to pay off the national debt and to cover any budget shortfalls.
The Gross Domestic Product (GDP) is the total value of all goods and services produced in the country during the year without having to divide production resources into domestic and imported. If the trend is downward, it means that the government has been using too restrictive monetary instruments which decreases the capacity of solvent demand to buy output.
The total amount of government debt refers to the amount of loans taken by the government from other countries in order to finance the deficit. A country with high levels of government debt will have a negative economic impact.
The Central Bank uses the refinancing percentage to issue loans to other banks. This tool allows the Central Bank to regulate interbank market rates and credit and deposit rates in order to provide banking services for legal entities and individuals.
The ratio of the country’s money supply to its foreign exchange reserves is called the balance of payments. It represents the amount of money that a country has received from abroad and the amount it has spent abroad during a particular period. The balance of payment includes payments for foreign trade, services, and other transactions as well as settlements of credit interest and investment income.
The unemployment rate is the ratio of the total working-age population to the number of people employed.
U.S. Stock Market Index: Types and Time Dimensions of Macroeconomic Indicators
Macroeconomic indicators can be divided into three main groups based on their nature:
Leading indicators economics (their purpose it to try and predict economic development based upon the analysis of current circumstances)
Coincidence (or by the economic activity);
Lagging is the term used to describe the economic activity that has slowed down.
Each group contains multiple indicators that characterize it, making it a complex indicator of indicators.
The US stock market data provides indicators of economic development that allow you to analyze the state of the economy and evaluate the effectiveness of government policy. These indicators can be divided by the frequency of calculation into weekly or monthly segments.
The entire year is also calculated and compared to previous periods in dynamics to get a complete picture. The Dow Jones US stock index is an example of this. Every indicator has a different impact on the economy. Letizo news reveals that the US completion stock index is the most important. It is important to examine the dynamic changes in each indicator and all indicators within the combined.