Conference Board says US Economy to Slow Further (Candace Choi)

Data released Thursday by the business group the Conference Board showed its gauge of future business activity dropped for the fourth month in a row January. Its index of leading economic indicators has now fallen 2.0 percent over the last six months, the biggest drop since early 2001.

The index is designed to forecast where the nation's economy is headed in the next three to six months — and persistent, pronounced declines signal that a recession may be around the corner.

"The conditions are nearing those that historically preceded recessions," said Ataman Ozyildirim, an economist at the Conference Board. "Every recession is a bit different, but we're becoming more confident that we're nearing those conditions."

The figures, in conjunction with downbeat news about manufacturing and a murky employment picture, sent the Dow Jones industrial average down more than 140 points Thursday as investors feared the onset of a recession. Broader indexes also closed lower.

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