The Conference Board Leading Economic Index for the Euro Area increased 0.3 percent to 106.5 (2010=100) in May, following a 0.5 percent increase in April and a 0.6 percent increase in March.

"The Leading Economic Index for the Euro Area increased for a seventh month in a row, pointing to a strengthening outlook for the rest of the year. Gains in the yield spread and consumer expectations, along with decreasing financial stress, were the biggest drivers of the LEI in May, offsetting stock market weakness," said Ataman Ozyildirim, Director, Business Cycles and Growth Research, at The Conference Board. "While the short-term business cycle factors are boosting the economic outlook for the Euro Area, political volatility remains the main source of risk that could impact the recovery in Europe." 

The Conference Board Coincident Economic Index for the Euro Area, which measures current economic activity, also increased in May. The index now stands at 100.4* (2010 = 100). The CEI increased 0.1 percent in April and declined 0.1 percent in March.