The latest composite leading indicators (CLIs) suggest that a slowdown in economic activity lies ahead in the OECD area. March 2008 data indicate a weakening outlook for all the major seven economies. The latest data for major OECD non-member economies point to a potential downturn in Brazil, China and India while continued expansion is ahead in Russia.

The CLI for the OECD area fell by 0.5 point in March 2008 and was 3.2 points lower than in March 2007. The CLI for the United States fell by 0.9 point in March and it was 3.6 points lower than a year ago. The Euro area’s CLI decreased by 0.7 point in March and stood 3.3 points lower than a year ago. In March, the CLI for Japan increased by 0.4 point, but it was 4.3 points lower than a year ago.

The CLI for the United Kingdom fell by 0.7 point in March 2008 and it was 2.6 points lower than a year ago. The CLI for Canada increased 0.3 point in March but was 1.1 point lower than a year ago. For France, the CLI decreased by 0.5 point in March and was 2.3 points lower than a year ago. The CLI for Germany fell by 0.5 point in March and was 3.1 points lower than a year ago. For Italy, the CLI decreased by 0.8 point in March and stood 4.6 points lower than a year ago.

The CLI for China was up by 0.1 point in March 2008 but stood 1.6 point lower than a year ago. The CLI for India fell by 1.3 point in February 2008 and was 1.6 point lower than in February 2007. The CLI for Russia increased by 0.1 point in March, and its level was 3.2 points higher than a year ago. In March 2008 the CLI for Brazil dropped 1.9 point, and it was 1.4 point lower than a year ago.