DALLAS, Feb. 24, 2016 /PRNewswire/ -- Comerica Bank's Michigan Economic Activity Index declined in December, decreasing 0.3 percentage points to a level of 127.4. December's reading is 53 points, or 72 percent, above the index cyclical low of 74.0. The index averaged 124.6 points for all of 2015, seven and one-fifths points above the index average for 2014. November's index reading was 127.7.
"Our Michigan Economic Activity Index decreased slightly in December, essentially extending the flat line that began last August. Four out of eight components increased for the month, while four components decreased. Gainers were paced by housing starts which increased significantly at year end. State sales tax receipts were the biggest drag in December. With U.S. auto sales near their cyclical peak we do not expect to see much push from the auto production component going forward," said Robert Dye, Chief Economist at Comerica Bank. "However, we expect U.S. auto sales to remain strong through 2016, supported by solid job gains and income growth, along with low gasoline prices and cheap financing. Strong auto sales will sustain robust auto production in Michigan in 2016."
The Michigan Economic Activity Index consists of eight variables, as follows: nonfarm payrolls, exports, hotel occupancy rates, continuing claims for unemployment insurance, housing starts, sales tax revenues, home prices, and auto production. All data are seasonally adjusted, and indexed to a base year of 2008. Nominal values have been converted to constant dollar values. Index levels are expressed in terms of three-month moving averages.
Comerica Bank, with 214 banking centers in Michigan, is a subsidiary of Comerica Incorporated (NYSE: CMA), a financial services company headquartered in Dallas, Texas, and strategically aligned by three business segments: The Business Bank, The Retail Bank, and Wealth Management. Comerica focuses on relationships, and helping people and businesses be successful. In addition to Michigan and Texas, Comerica Bank locations can be found in Arizona, California, and Florida, with select businesses operating in several other states, as well as in Canada and Mexico. To find Comerica on Facebook, please visit www.facebook.com/ComericaCares.
SOURCE Comerica Bank