Michigan Economy Jumps in January, Reports Comerica Bank's Michigan Economic Activity Index
DALLAS, March 29, 2012 /PRNewswire/ -- Comerica Bank's Michigan Economic Activity Index rose seven points in January, up to a level of 98. The January index level is 38 points, or 63 percent, above the index cyclical low of 60. January marks the highest index reading since January 2006. The January reading is seven points above the index average for all of 2011.
"A rebounding U.S. auto industry drove our Michigan Economic Activity Index sharply higher in January, after stalling in late 2011. Every component of the Michigan index increased in January, a sign that the recovery in Michigan is reaching beyond the revitalized auto industry and into the non-manufacturing sectors of the state economy," said Robert Dye, Chief Economist at Comerica Bank. "Threats to the Michigan economy are still visible in the form of cooler global macroeconomic conditions, higher energy prices and expected cuts in federal defense spending. However, these headwinds are not expected to reverse the state's recent hard-fought gains."
The Michigan Economic Activity Index consists of seven variables, as follows: nonfarm payrolls, exports, sales tax revenues, hotel occupancy rates, continuing claims for unemployment insurance, building permits, and motor vehicle production. All data are seasonally adjusted, as necessary, and indexed to a base year of 2004. Nominal values have been converted to constant dollar values. Index levels are expressed in terms of three-month moving averages.
Comerica Bank is the commercial banking 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.
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SOURCE Comerica Bank