As Doug Short explains in his SEEKING ALPHA post, ' ECRI ' stands for the Economic Cycle Research Institute, ' WLI ', is the ECRI's Weekly Leading Index, and the WLI just reached its highest level since May 14, 2010. Good news, yes ?
Just how reliable is the WLI in predicting economic declines and rebounds ? According to Short, the index is " more sensitive to upturns than either the Philly Fed's ADS Business Conditions Index (ADS) or the Chicago Fed's Current Activity Index."
And just what are these other indexes (or even indices, and how do they really stack up against the WLI ? Check out this analysis on Short's website.