Comerica Bank’s California Economic Activity Index eased in July, decreasing 1.6 percentage points to a level of 104.4. July’s reading is 32 points, or 44 percent, above the index cyclical low of 72.7. The index averaged 101 points for all of 2012, three points above the average for all of 2011. June’s index reading was revised up from 105.9 to 106.0.
“Our California Index declined again in July reflecting the mixed bag of factors contributing to improving, but uneven, growth in the California economy. The stock market index, based on prices for Silicon Valley companies, strengthened through the summer after dipping early in the year. This is contributing to ongoing economic growth in Northern California,” said Robert Dye, Chief Economist at Comerica Bank. “Labor markets are generally improving and residential real estate prices are firming statewide, so conditions look favorable for ongoing moderate economic expansion.”
For a PDF version of the California Economic Activity Index, click here: CaliforniaIndex_0913.