Nebraska will experience modest economic growth in the first half of 2017, according to the latest leading economic indicator report from the University of Nebraska-Lincoln.
The indicator, a composite of economic factors that predict economic growth six months into the future, fell by 0.14 percent in October.
“The October decrease, while small, reduces optimism for 2017,” said economist Eric Thompson, director of the Bureau of Business Research at the university. “The Nebraska economy, however, should continue to grow next year.”
There was a drop in airline passenger counts during October. “The value of the U.S. dollar also rose again during October,” Thompson said. “Ongoing increases in the value of the U.S. dollar create competitive pressures for export-oriented businesses, including in manufacturing and agriculture.”
Three components of the indicator rose during October. There was a small increase in manufacturing hours, business expectations, and building permits for single-family homes. Initial claims for unemployment insurance were flat during October.