Comerica Bank’s California Economic Activity Index was essentially flat in June, edging 0.2 points lower, to a level of 103.4. June’s reading is 30 points, or 41 percent, above the index cyclical low of 73.2. Year-to-date the index has averaged 101, two points above the average for all of 2011.
“The California economy was flat in June, following a surge in May, according to our California Economic Activity Index,” said Robert Dye, Chief Economist at Comerica Bank. “Private-sector job growth continues to improve, and housing markets are looking firmer. State fiscal conditions remain challenging, which is adding to the stress on some municipalities. Facebook’s poor market performance since its IPO in May has weighed heavily on Silicon Valley stock prices, and is adding to state tax revenue issues.”
Click here for a PDF version of the California Economic Activity Index: CaliforniaIndex_Aug12.