Nebraska Monthly Economic Indicators: August 19, 2016

The Leading Economic Indicator – Nebraska (LEI-N) rose by 0.23% in July 2016. The modest increase in the LEI-N, which predicts economic growth in the state six months in the future, followed a rapid increase in June. The modest increase suggests that economic growth will begin to moderate in Nebraska in January 2017, after strong growth towards the end of 2016. Three of the six components of the LEI-N rose during July. Business expectations were positive, as respondents to the Survey of Nebraska Business reported plans to increase employment over the next 6 months. There also was growth in airplane passenger counts and a drop in initial claims for unemployment insurance during July. Among declining components, there was a drop in building permits and manufacturing hours during the month. There also was an increase in the value of the U.S. dollar, a challenge for exporters in the manufacturing and agriculture industries