DETROIT – Comerica Bank’s Michigan Economic Activity in May increased 3 percent from April, and some 74 percent higher than the cyclical low during the recent recession ? another sign that the Michigan economy continues its upward trend.
In May, the index was 125.2, compared with April?s index reading of 122.2. The index averaged 114 for all of 2012, 11 points above the index average for 2011.
?Our Michigan Index continues to point toward improvement for the Michigan economy. Most index components increased for the month, including payroll employment,? said Robert Dye, Chief Economist at Comerica Bank. ?Strong U.S. auto sales for June are a positive factor for auto production and for the Michigan economy. We expect to see ongoing improvement to the Michigan economy through the second half of the year.?
The Michigan Economic Activity Index consists of seven variables, as follows: nonfarm payrolls, exports, sales tax revenues, hotel occupancy rates, continuing claims for unemployment insurance, building permits, and motor vehicle production. All data are seasonally adjusted, as necessary, and indexed to a base year of 2008. Nominal values have been converted to constant dollar values. Index levels are expressed in terms of three-month moving averages.
