Nebraska’s leading economic indicator rose in November, according to the most recent report from the University of Nebraska–Lincoln. The indicator, designed to predict economic activity six months into the future, increased by 0.96%.
“The indicator has risen for two consecutive months, suggesting that moderate economic growth will continue in Nebraska during the second quarter of 2022,” said economist Eric Thompson, director of the Bureau of Business Research and K.H. Nelson Professor of Economics.
The six components of Nebraska’s leading economic indicator are business expectations, building permits for single-family homes, airline passenger counts, initial claims for unemployment insurance, the value of the U.S. dollar and manufacturing hours worked.
Most components of the leading indicator rose in Nebraska during November. Building permits rose for the second consecutive month.
“The increase in permits shows that builders plan to work through labor and supply challenges to meet strong demand,” Thompson said.
Hours worked in the manufacturing sector also rose in November, given strong demand for manufactured goods across the country.
“Businesses expectations were strong throughout the economy,” Thompson said.
Respondents to the November Survey of Nebraska Businesses reported plans to increase sales and employment over the next six months.
“Optimistic businesses continue to hire, leading to another decline in initial claims for unemployment insurance in Nebraska,” Thompson said.