Monday, July 24, 2017

Bankers' view of heartland economy takes biggest dip since Great Recession

The overall Rural Mainstreet Index, for 10 Plains and Western states where agriculture and energy dominate the economy, experienced the biggest drop since the Great Recession last month, The Associated Press reports. The index "plummeted to 40.7 in July from June's index of 50. The index ranges between 0 and 100, with any number under 50 indicating a shrinking economy." Creighton University economist Ernie Goss says the drop is the largest since November 2008. Drought conditions and weak grain prices were factors in the region's rural economy slump.

The confidence index also fell this month, to 38.4, down from 48.9 in June. The confidence index measures bankers' expectations for the economy six months out. Bankers from Colorado, Illinois, Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, South Dakota and Wyoming were surveyed.
(Creighton graphic: Rural Mainstreet Index)

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