DALLAS, July 12, 2011 /PRNewswire/ -- Comerica Bank's California Economic Activity Index was unchanged in May, at a level of 102. May's reading is one point below the 104 average for all of 2010, and eight points, or 9 percent, above the index cyclical low. Year-to-date the index has averaged 103. April's reading was revised to 102 from a level of 104.
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Following a revised one-point drop in April, the California Economic Activity Index was flat in May. Job growth in the state stalled for the first time in seven months, while production factors were roughly flat on the month. High energy prices and supply chain disruptions associated with the Japan earthquake and tsunami likely damped growth in California over the first two months of the second quarter. As these headwinds dissipate, the local economy should begin showing strength against a background of moderate national expansion over the second half of the year.
The California Economic Activity Index equally weighs nine, seasonally-adjusted coincident indicators of real economic activity. These indicators reflect activity in the manufacturing, travel and trade sectors, as well as job growth and consumer outlays. The Index levels represent a three-month moving average, used to smooth monthly volatility. The Index is benchmarked so that 2008 equals 100.
Comerica Bank, with 104 banking centers in the key California markets of San Francisco and the East Bay, San Jose, Los Angeles, Orange County, San Diego, Fresno, Sacramento, Santa Cruz/Monterey, and the Inland Empire, is a subsidiary of Comerica Incorporated (NYSE: CMA). Comerica is a financial services company headquartered in Dallas, Texas, and strategically aligned into three major business segments: the Business Bank, the Retail Bank, and Wealth & Institutional Management. Comerica focuses on relationships and helping businesses and people be successful.
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SOURCE Comerica Bank
