A gauge of future US economic activity rose for a third straight month in April, suggesting the economy continues to gather strength after a sharp slowdown at the start of the year.

The private-sector Conference Board said today that its Leading Economic Index rose 0.4 per cent last month after an upwardly revised 1.0 percent gain in March. Economists had expected the index to rise 0.3 per cent.

"This latest report suggests the economy will continue to expand, and may even pick up steam through the second half of the year," Conference Board economist Ataman Ozyildirim said in a statement. (Reuters)