Index: Tallahassee employment in June slows while spending sends mixed signals
The Tallahassee Economic Index (TEI), the city’s top economic growth indicator, today released numbers ending June 2016 which show a steady increase in unemployment and mixed results in other categories.
“The TEI contracted slightly in June, marking the third consecutive month of drawdowns in the index,” said TEI Founder Brett F. Ewing. “The most troubling factor continues to be the rise in Initial Claims for Reemployment Assistance which bottomed in February and hasn’t seen a down month since. This is a definite cause for concern as it is a leading indicator for employment trouble coming on the horizon.”
The Index dropped 6.83 points, from 63.38 in May to 56.54 in June. The Index was revised in May to correct a data entry error.
“While it is clear we have gone into some sort of a summer rut, ‘mixed’ is the best word to describe this report,” said Lance Mitchell, Director of Research at the TEI. “We continue to see strength in pockets of consumer categories like household appliances, shoe and apparel stores, but that’s being offset by the softening in the employment picture. We also saw a slowdown in bars and restaurants, as well as the drop off in business spending on graphic arts, printing and publishing. One definite bright spot continues to be housing, as existing home sales and prices continue upward. New construction permits even pitched in this month, adding to the bullish real estate picture.”
• Initial claims rose 6.43 percent MoM, but dropped 19 percent YoY
• Household appliances gained 21.59 percent from last month and 3.54 percent YoY
• Realtor sales gained 11.89 percent MoM, and 3.1 percent YoY
• Single family existing home median sales price remained flat MoM, but grew 7.33 percent YoY
• New construction permits were up 16 percent MoM and were also up 3.57 percent YoY
• Drinking places saw sales fall 24.60 percent MoM and 10.98 percent YoY
The components of the TEI include: initial unemployment claims, office supplies, lumber, building permits, average home sales price, Realtor sales counts, shoe stores, advertising, home furniture, airport traffic, pawn, graphic arts, printing and publishing, household appliances, apparel, shops, drinking establishments