DALLAS, Aug. 26, 2015 /PRNewswire/ -- Comerica Bank's California Economic Activity Index grew in June, increasing 0.4 percentage points to a level of 121.1. June's reading is 37 points, or 44 percent, above the index cyclical low of 84.0. The index averaged 113.7 points for all of 2014, seven and one-half points above the average for all of 2013. May's index reading was 120.6.
"Our California Economic Activity Index increased again in June, showing a consistent recovery from a slight dip last March. Most components of the index were positive in June, including payroll employment, unemployment insurance claims, housing starts, defense spending and the Nasdaq 100. We did see a little give back in the house price index and in hotel occupancy for June, but the bulk of the data show positive conditions for the state economy. The recent global stock market correction will show up in our tech sector indicator – the Nasdaq 100 – but we believe that the correction will not be a fundamental drag on the state economy," said Robert Dye, Chief Economist at Comerica Bank. "Solid job creation and cheaper gasoline prices are supportive of the state's large consumer sector."
The California Economic Activity Index consists of eight variables, as follows: nonfarm payrolls, exports, hotel occupancy rates, continuing claims for unemployment insurance, housing starts, national defense spending, home prices, and the NASDAQ-100-Technology Sector Index (NDXT). All data are seasonally adjusted, as necessary, 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 103 banking centers in the key California markets of San Francisco and the East Bay, San Jose, Los Angeles, Orange County, San Diego, Fresno, Sacramento, Santa Cruz/Monterey, and the Inland Empire, is a subsidiary of Comerica Incorporated (NYSE: CMA). Comerica is a financial services company headquartered in Dallas, Texas, and strategically aligned into three major business segments: the Business Bank, the Retail Bank, and Wealth Management. Comerica focuses on relationships and helping businesses and people be successful. To find Comerica on Facebook, please visit www.facebook.com/ComericaCares.
SOURCE Comerica Bank