Comerica Bank’s Florida Economic Activity Index improved 1.1 percentage points in May to a level of 155.7. May’s index reading is 78 points, or 99 percent, above the index cyclical low of 78.1. The index averaged 138.6 in 2015, twenty and four-fifths points above the average for all of 2014. April’s index reading was 154.6.
“The Comerica Florida Economic Activity Index increased again in May after gaining in April. Revised data now show that the index fell slightly in March, breaking what was then a 23-month winning streak. With the improvement in May, we can say that the Florida Index has increased for 25 out of the last 26 months, indicating strong growth in the Florida economy. Six out of eight index components were positive in May, including employment, state exports, unemployment insurance claims (inverted), house prices, sales tax revenues and hotel occupancy. Only housing starts and enplanements gave up some ground in May. Single-family home sales in Florida are improving and we expect that to support housing starts through the remainder of the year,” said Robert Dye, Chief Economist at Comerica Bank. “Condo sales, however, are weakening and that will work against pricing in over-supplied markets, including Miami.”
For a PDF version of the Florida Economic Activity Index click here: FloridaIndex_0716.