Date of this Version
The Leading Economic Indicator, September 21, 2012
The Leading Economic Indicator – Nebraska (LEI-N) grew by 1.19% during August 2012. The increase in the LEI-N, which predicts economic growth in the state six months in the future, is the second monthly increase in a row. The two consecutive months of increase suggest that the Nebraska economy will grow moderately at the end of 2012 and early 2013. A primary reason for the improvement in the LEI-N was a solid increase in seasonally adjusted airline passenger counts during August. This suggests that both business travelers and household leisure travelers have confidence in the future. Along the same lines, there also was an improvement in business expectations for sales and employment growth, according to the Survey of Nebraska Business. Finally, building permits rose while a declining U.S. dollar in August suggests growth in Nebraska export activity. Among other indicator components, there was a slight drop in Nebraska manufacturing hours between July and August of 2012 and an increase in initial unemployment claims.