The NFCI provides a comprehensive weekly update on US financial conditions across risk, liquidity, and leverage.
Formula: Weighted average of 105 financial market indicators across money, debt, and equity markets
| Indicator Parameter | Value / Specification |
|---|---|
| Indicator Name | Chicago Fed Financial Conditions (NFCI) |
| Ticker Symbol | NFCI |
| Normal Baseline Range | -0.60 - -0.30 |
| Unit of Measure | Index Score (Zero = Historic Average) |
| Authoritative Source | Federal Reserve Bank of Chicago |
Negative values indicate loose financial conditions (supporting equities); positive values indicate tight conditions.
Source: Federal Reserve Bank of Chicago (https://www.chicagofed.org)
Loose conditions (NFCI < -0.40) support equity rallies and credit spread narrowing.
Spiked above +1.0 during 2008 financial crisis and March 2020 pandemic onset.
The NFCI provides a comprehensive weekly update on US financial conditions across risk, liquidity, and leverage.
Negative values indicate loose financial conditions (supporting equities); positive values indicate tight conditions.
Loose conditions (NFCI < -0.40) support equity rallies and credit spread narrowing.
Spiked above +1.0 during 2008 financial crisis and March 2020 pandemic onset.
Negative NFCI scores indicate financial conditions are looser than historic averages, favoring stock market risk-taking.