The Creighton University Mid-America Business Conditions Index has seen a significant decline, dropping to 49.6 in November 2024 from 51.1 in October. This marks the sixth time this year that the index has fallen below the growth neutral threshold of 50.0, indicating a trend toward flat to slow economic growth in the region. The employment index remains particularly weak at 44.4, reflecting ongoing difficulties in job creation, with regional manufacturing employment decreasing by approximately 2,000 jobs, or 0.2%, in 2024. [2c6eb8e7]
Supply chain disruptions have emerged as the primary concern for 38.7% of supply managers surveyed, underscoring the persistent challenges faced by businesses in the manufacturing sector. Additionally, inflation concerns continue to loom large, with 27.8% of respondents citing rising prices as a significant challenge. The price gauge has risen slightly to 56.6, indicating ongoing inflationary pressures. Despite these challenges, economic optimism has increased to 55.6, suggesting some resilience among businesses. [2c6eb8e7]
The export index has fallen to 45.5, attributed to a strong dollar impacting trade dynamics. The survey, which covers nine states including Arkansas, Iowa, and Nebraska, has been conducted since 1994 and provides valuable insights into the economic landscape of the Mid-America region. The next survey results are expected to be released on January 2, 2025, which will further illuminate the evolving economic conditions. [2c6eb8e7]