MetroIntelligence Economic Update by P. DUFFY
December employment rose by 233,000, unemployment rate edges down to 3.5 percent
Total nonfarm payroll employment increased by 223,000 in December, and the unemployment rate edged down to 3.5 percent. Notable job gains occurred in leisure and hospitality, health care, construction, and social assistance. The employment-population ratio increased by 0.2 percentage point over the month to 60.1 percent. The labor force participation rate was little changed at 62.3 percent. Both measures have shown little net change since early 2022. These measures are each 1.0 percentage point below their values in February 2020, prior to the coronavirus (COVID-19) pandemic.
December service sector economic index plunges 6.9 points to 49.6
In December, the Services PMI® registered 49.6 percent, 6.9 percentage points lower than November’s reading of 56.5 percent. The composite index contracted for the first time since May 2020, when it registered 45.2 percent. Of the four subindexes that directly factor into the Services PMI®, three — New Orders, Employment and Supplier Deliveries — contracted in December.
Third quarter 2022 GDP by state showed 47 states plus DC grew
Real gross domestic product (GDP) increased in 47 states and the District of Columbia in the third quarter of 2022 while Indiana, South Dakota, and Mississippi saw modest GDP declines. According to the U.S. Bureau of Economic Analysis (BEA), the percent change in real GDP ranged from 8.7 percent increase in Alaska to 0.7 percent decline in Mississippi.