Growth in the Nebraska economy will be modest during the summer of 2016, according to the latest leading economic indicator report from the University of Nebraska-Lincoln.
The indicator, a composite of economic factors that predict growth six months into the future, rose slightly, by 0.11 percent, in January 2016.
“The leading indicator continues to signal modest growth in the Nebraska economy” said economist Eric Thompson, director of the Bureau of Business Research at the University of Nebraska-Lincoln.
A strengthening U.S. dollar is creating headwinds for Nebraska exporters. “Economic growth in Nebraska is held back by a rising U.S. dollar, which limits potential growth in manufacturing and agriculture,” said Thompson.
Business expectations were a bright spot for the Nebraska economy. Respondents to the January Survey of Nebraska Business predicted strong growth in sales and employment at their businesses over the next six months. There also was a drop in initial claims for unemployment insurance in the state, a sign that the Nebraska labor market continues to strengthen. Manufacturing hours and passenger enplanements rose modestly during January.
The leading economic indicator report is produced monthly by faculty and students in the Economics Department and the Bureau of Business Research in UNL’s College of Business Administration.