It's Still Not Great, But Even Michigan's Economy Is Starting To Show Some Signs of Improvement
Comerica Bank's Michigan EconomicActivity Index improved two points in July, to a level of 75. Compared to its cyclical low, the Index is now up five points, or 7%. Year-to-date, the Index averages 73, down 14 points from the 2008 average.
"Our Index got a big boost from auto production in July," said Dana Johnson, Chief Economist at Comerica Bank. "In all likelihood, gains in auto productionand auto sales will continue to push our Index higher in the next couple of months reflecting, in part, the highly successful cash-for-clunkers program. More generally, Michigan businesses should see stronger demands for their products as the national recovery takes hold."
The Michigan Economic Activity Index equally weights nine, seasonally-adjusted coincident indicators of real economic activity. These indicators reflectactivity in the construction, manufacturing and service sectors as well as job growth and consumer outlays.