Comerica Bank’s Arizona Economic Activity Index climbed slightly in April, rising 0.2 percentage points to a level of 95.0. The April index reading is 23.7 points, or 33 percent, above the index cyclical low of 71.3. The index averaged 87.2 points for all of 2012, 8.7 points above the average for full-year 2011.
“Our Arizona Index increased in April reflecting the turnaround in residential real estate conditions in the Phoenix area,” said Robert Dye, Chief Economist at Comerica Bank. “Home prices have increased on a month-to-month basis for 20 consecutive months through this past April. On a year-ago basis, Phoenix area home prices are up 21.5 percent. That is providing positive incentive for home buyers and builders. It is also increasing homeowners’ wealth, which translates into stronger overall consumer activity. We expect to see further improvement to the Arizona economy in the months ahead.”