The second estimate for real gross domestic product (GDP) increased at an annual rate of 2.3 percent in the fourth quarter of 2024, which was mostly attributed to continued increases in consumer and government spending. Seasonally adjusted U.S. nonfarm employment increased by 151,000 jobs in February, with the unemployment rate reaching 4.1 percent and the number of unemployed people reaching 7.1 million. The unemployment rate has remained in a narrow range of 4.0 percent to 4.2 percent since May 2024.
Inflationary pressures remained present, with the Consumer Price Index (CPI) increasing by 2.8 percent year-over-year in February. Retail sales saw a slight monthly increase of 0.2 percent but maintained year-over-year growth of 3.1 percent. The Treasury yield spread, on the other hand, remained at a positive 0.23 percent; somewhat lower from the previous month.
The state of Nevada exhibited negative economic signals. Seasonally adjusted statewide employment lost 5,800 jobs in January, but rose by 0.9 percent from last year. The unemployment rate persisted as the highest in the nation, remaining unchanged at 5.8 percent. Gaming revenue in January posted $1.44 billion, experiencing a 1.5 percent monthly decline but a 12.5 percent year-over-year increase. Air travel decreased by 10.8 percent in January, but rose by 1.0 percent annually. Gasoline sales in November declined by 0.8 percent from the previous year.
Clark County also displayed similar negative economic signs. Seasonally adjusted employment declined by 7,500 jobs in January. Residential permits saw an increase to 1,292 units in January, a 13.8 percent rise from the previous year. Gaming revenue experienced a 1.8 percent decrease in January compared to the previous month and a 13.2 percent annual increase. Visitor volume decreased by 0.6 percent year-over-year along with the reduced room inventory, but air passengers increased slightly by 0.3 percent during the same period. November gasoline consumption declined 1.0 percent year-over-year.
Washoe County’s economic performance remained relatively positive. Seasonally adjusted employment lost 600 jobs in January. Residential permits increased to 452 units in January, reflecting a 32.2 percent rise from December and a 41.3 percent year-over-year increase. January gaming revenue rose 0.1 percent month-over-month but 2.8 percent year-over-year, while visitor volume grew monthly and annually by -2.2 and 11.7 percent, respectively. Air passenger traffic climbed by 5.3 percent year-over-year. Gasoline consumption decreased by 0.6 percent from last year.
UNLV Center for Business and Economic Research
The views expressed are those of the authors and do not necessarily represent those of the University of Nevada, Las Vegas or the Nevada System of Higher Education.
