Nebraska Monthly Economic Indicators: September 16, 2016
Copyright 2016 Eric Thompson and William Walstad.
The Leading Economic Indicator – Nebraska (LEI-N) fell by 0.32% during August of 2016. The decline in the LEI-N, which predicts economic growth in the state six months in the future, followed an increase of similar magnitude during July. Taken together, the two months of results suggest slow economic growth in Nebraska in early 2017. Three of the six components of the LEI-N were negative during August. There was an increase in initial claims for unemployment insurance, as well as a decline in manufacturing hours during the month. There also was a small decline in airline passenger counts. At the same time, three components of the LEI-N were positive during August. Business expectations were positive, as respondents to the August Survey of Nebraska Business reported plans to increase sales and employment over the next 6 months. There also was an increase in building permits for single-family homes. Finally, the value of the the U.S. dollar dropped during August, which is positive for Nebraska businesses which export.