LMN 3 Month Ahead Financial Uncertainty

LMNUF3M • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

1.19

Year-over-Year Change

18.58%

Date Range

7/1/1960 - 4/1/2025

Summary

The LMN 3 Month Ahead Financial Uncertainty measure tracks expected near-term volatility in financial markets, providing a forward-looking indicator of economic and policy uncertainty.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This index reflects financial analysts' and traders' collective forecasts of market instability over the next 3 months. It is a leading indicator used by policymakers and investors to gauge upcoming economic and financial risks.

Methodology

The index is calculated from options market prices, reflecting implied volatility.

Historical Context

Elevated uncertainty can signal increased market risks and impact policy decisions.

Key Facts

  • Measured on a 0-100 scale, with higher values indicating greater expected volatility.
  • Tends to rise during periods of economic and policy uncertainty.
  • Closely watched by investors and policymakers for forward-looking insights.

FAQs

Q: What does this economic trend measure?

A: The LMN 3 Month Ahead Financial Uncertainty measure tracks expected near-term volatility in financial markets, providing a forward-looking indicator of economic and policy uncertainty.

Q: Why is this trend relevant for users or analysts?

A: This index is a leading indicator used by policymakers and investors to gauge upcoming economic and financial risks, as elevated uncertainty can signal increased market volatility and impact policy decisions.

Q: How is this data collected or calculated?

A: The index is calculated from options market prices, reflecting implied volatility.

Q: How is this trend used in economic policy?

A: Policymakers closely monitor this indicator to assess future economic and financial conditions, which can inform their policy decisions.

Q: Are there update delays or limitations?

A: The data is updated regularly and provides a timely, forward-looking assessment of financial uncertainty.

Related Trends

Citation

U.S. Federal Reserve, LMN 3 Month Ahead Financial Uncertainty (LMNUF3M), retrieved from FRED.