Comerica Bank’s Michigan Economic Activity Index continued to decrease in January, down 1.6 percentage points to a level of 125.6. January’s reading is 54 points, or 74 percent, above the index cyclical low of 72.1. The index averaged 126 for all of 2013, 12 points above the index average for 2012. December’s index reading was revised slightly up from 127.1 to 127.2.
“Our Michigan Index fell again in January, its third consecutive decline. Brutal weather has taken its toll on the Michigan economy this winter,” said Robert Dye, Chief Economist at Comerica Bank. “Automobile assemblies dropped in January. This reflected both local weather conditions and the drag from weaker-than-expected auto sales nationally. Payroll employment for Michigan was essentially unchanged from June 2013 to January 2014. We expect U.S. auto sales to improve this spring and that will be a positive for Michigan. House prices are firming up statewide and that is also a broad support for the state’s economy.”
For a PDF version of the Michigan Economic Activity Index click here: Michigan0314.