First, the argument of a conflict of interest between monetary policy and prudential supervision becomes irrelevant inside the euro space, the place supervisory responsibilities are on the nationwide level. Since the geographical jurisdictions of financial coverage and prudential supervision now not coincide, NCBs in command of prudential supervision are shielded from the normal conflict of curiosity. The second main argument against a big involvement of central banks in supervision is the alleged conflict of curiosity between monetary policy and prudential supervision. Leading indicators- A phrase you’ll hear incessantly in the media are stories on main economic indicators. A leading indicator means a data point or a pattern that begins to occur earlier than it’s detected within the overall economy.