Comerica Bank’s Arizona Economic Activity Index expanded in December, up 4.4 percentage points to a level of 100.3. December’s index reading is 29 points, or 41 percent, above the index cyclical low of 71.3. The index averaged 96 points for all of 2013, nine points above the average for full-year 2012. November’s index reading was unchanged at 95.9.
“Our Arizona Index improved strongly in December, after a small gain in November. The jump in December was powered by very strong residential building permits data for the month. Almost all other components of our Arizona Index were positive in December as well. It is unlikely that the high rate of building permits for December will be sustained over the next couple of months, but the strong December data is a positive sign for the Arizona economy,” said Robert Dye, Chief Economist at Comerica Bank. “House prices eased a little in December according to the Case-Shiller data, but are still up 15.3 percent over the previous year in Phoenix. I expect the Arizona economy to continue to improve through 2014.”
For a PDF version of the Arizona Economic Activity Index click here: ArizonaIndex_0214.