The Conference Board's Leading Economic Index (LEI) continued its downward trajectory in June 2025, falling 4.0% year-over-year to its lowest level in 11 years. This decline marks the 38th drop in the last 40 months and extends the LEI's maximum drawdown to 17.8%, the largest since the 2008 Financial Crisis. Despite this, the breadth of the LEI's components showed improvement in June, with 60% of components gaining, up from 30% in May and 15% in April, though the six-month average breadth remains weak at 40%. The LEI's decline has accelerated in 2025, with a 2.8% drop in the first half of the year compared to a 1.3% decline in the latter half of 2024. Additionally, the Conference Board's labor-market differential, which measures the share of respondents reporting plentiful jobs minus those finding jobs hard to get, fell again in July to a new cycle low, reaching levels not seen since early 2017. This suggests ongoing cooling in the U.S. labor market amid concerns about a potential recession, as the LEI has signaled recession conditions for three consecutive months. Market breadth indicators showed some resilience, with NYSE up volume increasing by 37% ahead of the data release.