Indiana index heads higher for September 2014

The index produced by the Indiana University Kelley School of Business increased from a revised reading of 101.5 for August, the school said Monday.

All the components of the index contributed to the rise, but the homebuilders and auto sectors were of particular note.

Light-vehicle sales in August were up 10.5 percent from July 2014 to 1.6 million, which is better than August 2013 by 5.4 percent. The August 2014 seasonally adjusted annual rate for light-vehicle sales was 17.5 million, a first for this year, Timothy Slaper, research director, said in the school's statement. But Slaper buffered the good news with caution.

"Based on Gallup's U.S. Economic Confidence Index and the Small Business Optimism Index, sentiment for consumers and small business has hit a flat patch - in essence, taking a wait-and-see posture," he said. "Perhaps the average consumer and small business owner are finding it hard to hope for the best."