ADP Employment Report
The ADP national employment report is computed from a subset of ADP records that in December 2005 covered 14 million employees at roughly 225,000 business establishments. ADP contracted Macroeconomic Advisors to compute a monthly report that would ultimately help to predict monthly nonfarm payrolls from the Bureau of Labor Statistic's employment situation. The ADP report only covers private (excluding government) payrolls at this time.

Average Hourly Earnings
Average hourly earnings reveal the basic hourly rate for major industries as indicated in nonfarm payrolls. Accelerating wage increases are considered signs of potential inflationary pressures. (Bureau of Labor Statistics)

Average Workweek
The average workweek reflects the number of hours worked in the private nonfarm sector. Typically, employers will decrease (increase) the number of hours worked before they fire (hire) workers. (Bureau of Labor Statistics)

Bank of Canada Announcement
The Bank of Canada issues a statement about every six weeks to inform the financial markets of its policy decision.

Bank of England Announcement
Upon the completion of its monthly monetary policy committee meeting, the Bank of England issues an announcement of its decision. If a policy change is made the announcement will include the reasons for the change.

Bank Reserve Settlement
Bank reserve settlement is a two-week period that ends every other Wednesday at which time commercial banks must meet reserve requirements stipulated by the Federal Reserve.

Beige Book
This book is produced roughly two weeks before the monetary policy meetings of the Federal Open Market Committee. On each occasion, a different Fed district bank compiles anecdotal evidence on economic conditions from each of the 12 Federal Reserve districts. (Federal Reserve Board)

Business Inventories
Business inventories are the dollar amount of inventories held by manufacturers, wholesalers, and retailers. The level of inventories in relation to sales is an important indicator of the near-term direction of production activity. (Bureau of the Census)

Capacity Utilization Rate
The capacity utilization rate reflects the usage of available resources among factories, utilities and mines. A high and rising operating rate may signal that resources are being utilized to their fullest capacity -- a warning sign of inflationary pressures. (Federal Reserve Board)

Carry Trades
Carry trades involve borrowing funds in a low interest rate country and then reinvesting it at a higher interest rate elsewhere to maximize returns

Chain Store Sales
Monthly sales volumes from individual department, chain, discount, and apparel stores are usually reported on the first Thursday of each month. Chain store sales correspond with roughly 10 percent of retail sales. (Individual stores)

Challenger Job-Cut Report
This monthly report counts and categorizes announcements of corporate layoffs, but it must be analyzed with caution. It doesn't distinguish between layoffs scheduled for the short-term or the long term, or whether job cuts are handled through attrition or actual layoffs. Unlike most economic data, this series is not adjusted for seasonal variation. (Challenger, Gray & Christmas, Inc.)

Construction Spending
Also known as construction put-in-place, it records the dollar value of new construction activity on residential, non-residential, and public projects. Data are available in nominal and real (inflation-adjusted) dollars. (Bureau of the Census)

Consumer Confidence
The Conference Board compiles a survey of consumer attitudes on present economic conditions and expectations of future conditions. Five thousand consumers across the country are surveyed each month. While the level of consumer confidence is associated with consumer spending, the two don't move in tandem each and every month. (The Conference Board)

Consumer Credit
The dollar value of revolving and non-revolving consumer installment credit outstanding is reported monthly. Changes in consumer credit indicate the state of consumer finances and suggest future spending patterns. (Federal Reserve Board)

Consumer Price Index
The Consumer Price Index (CPI) is a measure of the average price level of a fixed basket of goods and services purchased by consumers. Monthly changes in the CPI represent the rate of inflation. (Bureau of Labor Statistics)

Consumer Sentiment
The University of Michigan Survey Center conducts a survey of consumer attitudes on present economic conditions and expectations of future conditions. Five hundred consumers are surveyed each month. The level of consumer sentiment is associated with consumer spending but the two don't move in tandem each and every month. (University of Michigan Survey Center)

Current Account
The current account measures the U.S.'s international trade balance in goods, services, and unilateral transfers on a quarterly basis. The levels of exports, imports and the current account indicate trends in foreign trade. (Bureau of Economic Analysis)

Deflation
Deflation is a pervasive decline in the price level. Deflationary forces are often associated with extremely weak economic conditions.

Discount Rate
This is the rate the Federal Reserve charges banks when they borrow from Federal Reserve Banks. In January 2003, the Fed instituted a primary credit and secondary credit discount rate. The primary credit discount rate is set at 100 basis points over the federal funds rate target, while the secondary credit rate is set at 150 basis points over the fed funds rate target. (Federal Reserve Board)

Disinflation
Disinflation reflects a moderation in the rate of inflation. A period of disinflation can occur for any number of reasons including healthy productivity growth, strong competitive pressures in global markets, and moderating economic growth.

Durable Goods Orders
Durable goods orders reflect the new orders placed with domestic manufacturers for immediate and future delivery of factory hard goods. The first release, the advance, provides an early estimate of durable goods orders. About two weeks later, more complete and revised data are available in the factory orders report. The data for the previous month are usually revised a second time upon the release of the new month's data.

ECB Announcement
The European Central Bank (ECB) issues a statement after its Governing Council meetings. Although the ECB meets twice monthly, only the first meeting of the month traditionally deals with monetary policy. Its brief announcement is followed monthly by a press conference where the Bank's decision is described in greater detail.

EIA Natural Gas Report
The Energy Information Administration (EIA) provides weekly information on natural gas stocks in underground storage for the U.S., and three regions of the country. The level of inventories help determine prices for natural gas products.

EIA Petroleum Status Report
The Energy Information Administration (EIA) provides weekly information on petroleum inventories in the U.S., whether produced here or abroad. The level of inventories helps determine prices for petroleum products.

Employment Cost Index
A measure of total employee compensation costs, including wages, salaries and benefits. The employment cost index (ECI) is the broadest measure of labor costs. (Bureau of Labor Statistics)

Employment Situation
The employment situation is a set of labor market indicators. The unemployment rate measures the number of unemployed as a percentage of the labor force. Nonfarm payroll employment counts the number of paid employees working part-time or full-time in the nation's business and government establishments. The average workweek reflects the number of hours worked in the nonfarm sector. Average hourly earnings reveal the basic hourly rate for major industries as indicated in nonfarm payrolls.

Existing Home Sales
Existing home sales tally the number of previously constructed homes, condominium and co-ops in which a sale closed during the month. Existing homes (also known as home resales) account for a larger share of the market than new homes and indicate housing market trends. (National Association of Realtors)

Factory Orders
Factory orders represent the dollar level of new orders for both durable and nondurable goods. This report gives more complete information than the advance durable goods report which is released one or two weeks earlier in the month. (Bureau of the Census)

Farm Prices
The index of prices received by farmers is reported at the end of the month for the current month. It reflects changes through the middle of the month and is not adjusted for seasonal variation. It includes crop and livestock prices. Farm prices can give early warnings of inflationary or deflationary pressures in the economy. (Department of Agriculture)

Federal Funds Rate
This is the rate banks charge each other for the use of overnight funds.

Federal Funds Rate Target
This is the rate that the Federal Reserve controls by adding or removing reserves from the banking system.

Fiscal Policy
The government can use fiscal policy, changes in the tax structure or government spending to impact economic growth. In order to spur economic activity, the federal government may increase government spending and lower tax rates; conversely, a decline in government spending and/or an increase in taxes can dampen economic growth.

FOMC Meeting
The Federal Open Market Committee consists of the seven governors of the Federal Reserve Board and five presidents of Federal Reserve Banks. The FOMC meets eight times a year to determine the near-term direction of monetary policy. The thrust of monetary policy is announced immediately after each FOMC meeting. (Federal Reserve Board)

Gross Domestic Product
GDP is the broadest measure of aggregate economic activity and encompasses every sector of the economy. (Bureau of Economic Analysis)

Help Wanted Index
The help wanted index is a monthly index of the number of lines of help-wanted advertising in 51 major newspapers from around the country. This index indicates strength or weakness in the labor market. (The Conference Board)

Housing Market Index
The National Association of Home Builders produces a housing market index based on a survey in which respondents from this organization are asked to rate the general economy and housing market conditions. The housing market index is a weighted average of separate diffusion indexes: present sales of new homes, sale of new homes expected in the next six months, and traffic of prospective buyers in new homes. (National Association of Home Builders/Wells Fargo)

Housing Starts
Housing starts measure initial construction of residential units (single-family and multi-family) each month. A rising (falling) trend points to gains (declines) in demand for furniture, home furnishings and appliances. (Bureau of the Census)

ICSC-UBS Store Sales
This weekly measure of comparable store sales at major retail chains is related to the general merchandise portion of retail sales. It accounts for roughly 10 percent of total retail sales. (International Council of Shopping Centers & UBS)

Import and Export Prices
Indexes are compiled for the prices of goods that are bought in the United States but produced abroad and the prices of goods sold abroad but produced domestically. These prices indicate inflationary trends in internationally traded products. (Bureau of Labor Statistics)

Industrial Production
The index of industrial production measures the physical output of the nation's factories, mines and utilities. The industrial sector accounts for less than one-fifth of the economy but for most of its cyclical variation. (Federal Reserve Board)

International Trade Balance
The international trade balance measures the difference between imports and exports of both tangible goods and services. Imports may act as a drag on domestic growth and they may also increase competitive pressures on domestic producers. Exports boost domestic production. (Bureau of the Census & Bureau of Economic Analysis)

ISM Manufacturing Index
The Institute for Supply Management surveys nearly 400 manufacturing firms on employment, production, new orders, supplier deliveries, and inventories. A composite diffusion index of national manufacturing conditions is constructed, where readings above (below) 50 percent indicate an expanding (contracting) factory sector. Export orders, import orders, backlog orders and prices paid for raw and unfinished materials are also measured, but these are not included in the overall index. (Institute for Supply Management)

ISM Non-Manufacturing Survey
The non-manufacturing ISM surveys nearly 400 firms from 60 sectors across the United States, including agriculture, mining, construction, transportation, communications, wholesale trade and retail trade. Financial market players monitor the business activity index, because a composite index, like its manufacturing cousin, is not compiled by the ISM. (Institute for Supply Management)

Jobless Claims
New unemployment claims are compiled weekly to show the number of individuals who filed for unemployment insurance for the first time. An increasing (decreasing) trend suggests a deteriorating (improving) labor market. (Employment & Training Administration, Department of Labor)

Leading Indicators
The index of leading indicators is a composite index of ten economic indicators. It is designed to signal the direction of the economy in a timely and consistent manner. This amalgam of indicators is reported by public and private agencies well in advance of their bundled release. (The Conference Board)

MBA Purchase Applications Index
The Mortgage Bankers' Association compiles various mortgage loan indexes. The purchase applications index measures applications at mortgage lenders. This is a leading indicator for single-family home sales and housing construction. (Mortgage Bankers' Association)

Money Supply
Monetary aggregates are alternative measures of the money supply by degree of liquidity. Changes in the aggregates can indicate the thrust of monetary policy as well as the outlook for economic activity and inflationary pressures. (Federal Reserve Board)

Monetary Policy
The Federal Reserve Board determines monetary policy by targeting either interest rates or the money supply. A reduction in interest rates will spur growth while an increase may dampen growth. If the Fed were targeting money supply, increases would spur growth while decreases would curtail growth.

Monster Employment Index
The Monster Employment Index is a comprehensive monthly analysis of U.S. online job demand. It is conducted by Monster Worldwide, Inc. and is based on a real-time review of millions of employer job opportunities culled from more than 1,500 Web sites, including a variety of corporate career sites, job boards and Monster. The Index presents a snapshot of employer online recruitment activity nationwide. It was launched in April 2004 with data collected since October 2003.

Motor Vehicle Sales
Individual automakers (including foreign & domestic makes) report unit sales of domestically-produced cars and light duty trucks (including sport utility vehicles and mini-vans). Motor vehicle sales are good indicators of trends in consumer spending. (Individual automakers)

Housing Market Index
The National Association of Home Builders produces a housing market index based on a survey in which respondents from this organization are asked to rate the general economy and housing market conditions. The housing market index is a weighted average of separate diffusion indexes: present sales of new homes, sale of new homes expected in the next six months, and traffic of prospective buyers in new homes. (National Association of Home Builders/Wells Fargo)

NAPM-Chicago Survey
The NAPM-Chicago survey is a composite diffusion index of manufacturing and non-manufacturing conditions in the Chicago area. Readings above 50 percent indicate expanding business activity. This index is considered a leading indicator of the ISM manufacturing index despite the fact that it also incorporates non-manufacturing activity. (National Association of Purchasing Management - Chicago)

New Home Sales
New home sales measure the number of newly constructed homes with a committed sale during the month. The level of new home sales indicates housing market trends and, in turn, economic momentum and consumer purchases of furniture and appliances. (Bureau of the Census)

Nonfarm Payrolls
Nonfarm payroll employment offers a count of the number of paid employees working part-time or full-time in the nation's business and government establishments. (Bureau of Labor Statistics)

Empire State Mfg Survey
The New York Fed conducts this monthly survey of manufacturers in New York State. Participants from across the state represent a variety of industries. On the first of each month, the same pool of roughly 175 manufacturing executives (usually the CEO or the president) is sent a questionnaire to report the change in an assortment of indicators from the previous month. Respondents also give their views about the likely direction of these same indicators six months ahead. This index is seasonally adjusted using the Philadelphia Fed's seasonal factors because its own history is not long enough with data only going back a couple of years.

Pending Home Sales Index
The National Association of Realtors developed the pending home sales index as a leading indicator of housing activity. As such, it is a leading indicator of existing home sales, not new home sales. A pending sale is one in which a contract was signed, but not yet closed. It usually takes four to six weeks to close a contracted sale.

Personal Income
Personal income is the dollar value of income received from all sources by individuals. Consumer spending rises and falls with income changes. (Bureau of Economic Analysis)

Personal Outlays
Personal outlays (also known as personal consumption expenditures) include consumer purchases of durable goods, nondurable goods, and services. Consumer spending accounts for two-thirds of GDP and is therefore a key element in economic growth. (Bureau of Economic Analysis)

Philadelphia Fed Survey
The general conditions index from this business outlook survey is a diffusion index of manufacturing conditions within the Philadelphia Federal Reserve district. This survey, widely followed as an indicator of manufacturing sector trends, is correlated with the ISM manufacturing index and the index of industrial production. (Federal Reserve Bank of Philadelphia)

Primary Dealers
Primary dealers are banks and securities brokerages that trade in U.S. Government securities with the Federal Reserve System. Primary dealers buy and sell government securities in the secondary market when the Fed is conducting open market operations. They also are committed in participating in Treasury auctions. In addition, they provide the Fed's trading desk with market information and analysis that are helpful in the formulation and implementation of monetary policy.

Producer Price Index
The Producer Price Index (PPI) is a measure of the average price level for a fixed basket of capital and consumer goods paid by producers. (Bureau of Labor Statistics)

Productivity and Costs
Productivity measures the growth of labor efficiency in producing the economy's goods and services. Unit labor costs reflect the labor costs of producing each unit of output. Faster productivity growth allows wages to be increased without accelerating inflationary trends. When wages rise with productivity, it signals increased wealth for workers. (Bureau of Labor Statistics)

Quadruple Witching
Stock options and index options as well as index futures and individual stock futures expire on the same day, four times a year, on the third business Friday of March, June, September and December. This is often associated with greater-than-normal volatility in the financial markets.

RBC CASH Index
The RBC CASH (Consumer Attitudes and Spending by Household) Index is a monthly national survey of consumer attitudes on the current and future state of local economies, personal financial situations, savings, and confidence to make large investments. The CASH Index is benchmarked against a baseline score of 100, assigned in January 2002 when the Index was introduced.

Redbook
The Redbook survey is a weekly measure of sales at chain stores, discounters, and department stores. It is a less consistent indicator of retail sales than the ICSC-UBS index. This index is correlated with the general merchandise portion of retail sales, covering only about 10 percent of total retail sales. (Instinet Research, Reuters)

Reopening
The U.S. Treasury sometimes reopens previously issued notes or TIPS rather than offering a new issue. The reopened security has the same maturity date and interest rate as the original issue of the security, but it will have a different issue date and a different purchase price. If the price at the reopening exceeds the par value of the security, the buyer will owe a premium. In addition, when buying a reopened security, the buyer must pay the interest the security earned before it was purchased. The Treasury will pay back this "accrued interest" to the buyer on the first semiannual interest payment.

Repo rate
The repo rate is the interest rate on securities repurchase agreements used by central banks to influence domestic money markets.

Retail Sales
Retail sales measure the total receipts at stores that sell durable and nondurable goods. Consumer spending accounts for two-thirds of GDP and is therefore a key element in economic growth. (Bureau of the Census)

State Street Investor Confidence Index
The State Street Investor Confidence Index measures confidence by looking at actual levels of risk in investment portfolios. This is not an attitude survey. This index is current since it uses data collected at the close of the previous Wednesday and is reported on the second to last Tuesday of each month.

Treasury Auctions
Treasury securities are sold at public auctions on a regular schedule. The competitive bids at these auctions determine the interest rate paid on each issue of Treasury bills, notes or bonds. A group of about 22 securities dealers, known as primary dealers, are authorized and obligated to submit competitive tenders at Treasury auctions. These dealers can hold them, resell them to their clients or trade them with other securities firms.

Treasury Budget
The U.S. Treasury releases a monthly account of the surplus or deficit of the federal government. Changes in the budget balance of the annual fiscal year (which begins in October) are followed as an indicator of budgetary trends and the thrust of fiscal policy. (Department of the Treasury)

Treasury International Capital
The Treasury International Capital System figures, also known as TICS, track the flows of financial instruments into and out of the United States. Instruments tracked include Treasury securities, agency securities, corporate bonds, and corporate equities. These have become widely followed in the markets since 2004 as financial participants have become increasingly worried about the burgeoning U.S. current account deficit.

Treasury STRIPS
The Treasury issues a report on the amount of net stripping of Treasury securities that has taken place during the month. The report details gross stripping and reconstitution of Treasury notes and bonds by individual issue. STRIPS is the acronym for Separate Trading of Registered Interest and Principal of Securities. The STRIPS program lets investors hold and trade the individual interest and principal components of eligible Treasury notes and bonds as separate securities. (Department of the Treasury)

Unemployment Rate
The unemployment rate measures the number of unemployed as a percentage of the labor force. A rising (falling) unemployment rate usually means that consumers are less (more) likely to spend and is negative (positive) for the economy. (Bureau of Labor Statistics)

Wholesale Trade
Wholesale trade measures the dollar value of sales made and inventories held by merchant wholesalers. It is a component of business sales and inventories. (Bureau of the Census)