The Conference Board's index of leading indicators holds steady in February

Growth in the index of leading economic indicators held steady at 0.2 percent in February, pointing to moderate growth for the economy over the next 6 months. Once again the yield spread is the biggest positive for the index reflecting the Fed's near zero rate policy. The stock market is the next biggest positive followed by the report's credit index, an index that has however consistently been pointing to healthier borrowing conditions than government reports. Consumer expectations are also a positive in February but are very likely to reverse in March given the mid-month plunge in the consumer sentiment index.

Other readings include a 0.2 percent rise in the coincident index, which points to moderate ongoing growth, and a 0.3 percent rise in the lagging index, which points to moderate past growth. Growth may be slow but it is sustainable, reducing the risk of overheating and keeping the Fed's rate hike at bay.