Midwestern Economy Report Remains Strong, Shows Inflation Fears | Nebraska News
OMAHA, Neb. (AP) – The economies of nine Midwestern and Plains states remain strong following a devastating global pandemic, according to a new monthly survey of business leaders and managers, but the survey index measuring inflation hit a new high.
Creighton Mid-America University trading conditions for May released on Tuesday stood at 72.3, down slightly from April’s record high of 73.9.
Any score above 50 on the survey indices suggests growth, while a score below 50 suggests recession.
While surveyed business leaders showed strong confidence in the region’s economic growth over the next six months, the survey’s wholesale inflation gauge for the month also hit a record high of 96.3 from the previous April record of 96.2.
The survey showed that nearly one in three procurement managers cited rapidly rising input prices as their company’s biggest economic challenge in 2021.
Photos to see – May 2021
“Since June of last year, metal prices have increased 20.8% and wood products have advanced 63.1%, according to data from the United States Bureau of Labor Statistics,” Ernie said. Goss, an economist from Creighton University, who is overseeing the survey.
The survey showed that the region’s manufacturing sector has created jobs at a modest rate, with nearly a quarter of manufacturers surveyed saying finding and hiring skilled workers is this year’s biggest challenge. The shortage of workers is pushing up hourly wages in manufacturing, Goss said.
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