The Conference Board's measure of leading indicators rose by 0.2% in July, a larger increase than the 0.1% increase expected in a survey compiled by Bloomberg and following a 0.1% decrease in June.
There were positive contributions from seven of the 10 components, led by weekly unemployment insurance claims, building permits for private housing and the interest rate spread. Business expectations were the largest negative contributor.
The Conference Board said that economic growth is expected to be led by investments in AI, while consumer spending is forecast to slow due to the higher cost of living.