Monthly Editorial Departments

The Nevada and U.S. economies enter 2008 facing the headwinds of the housing slowdown, uncertainties in credit markets, and a general malaise about the future. Though consumer and business confidence has dropped, the most recent indicators are mixed, but not depressing. On the contrary, employment levels are higher than the same month a year ago for the U.S., Nevada, Las Vegas, … [Read more...] about January 2008: Business Indicators

The U.S. and Nevada economies continue adjusting to housing problems. Nationally, housing starts are off 30.8 percent September 2007 from the same month a year earlier. Reno shows a similar sharp drop with permitting down 40.1 percent. Las Vegas, on the other hand, shows a jump in permitting. This is an unsustainable increase as the abundant supply of unoccupied units will take … [Read more...] about December 2007: Business Indicators

The midyear indicators remain generally positive.  To be sure, a number of indicators point to slowing rates of change.  And a few, in particular housing, generally show marked weakness in comparison with indicators in 2005 and early 2006. One indicator showed a big jump.  Las Vegas residential permitting jumped from 925 in July to 2,388 in August; a one-month increase in … [Read more...] about November 2007: Business Indicators

It could not last-and, it did not. The push toward increased home ownership, an admirable objective, came with a host of relaxed credit standards; generally referred to as subprime mortgages. Innovative, but relaxed credit standards, abundant funding augmented from expanding global sources; and a rush for quick returns triggered by some early highly profitable events set off a … [Read more...] about October 2007: Business Indicators

Housing’s rebalancing, as reflected in the sharp decline in permitting activity relative to year-ago levels, has created an economic drag, resulting in more modest change of late. For example, Nevada’s employment growth has slowed to 1.7 percent as measured by the June 2007 level relative to June 2006. Over the same period, Las Vegas (Clark County) posted a 2.1 percent gain and … [Read more...] about September 2007: Business Indicators

Housing markets continue to realign, both nationally and in the Silver State. Not surprisingly, growth rates for key spending indicators are also down as a result of tightened housing mortgages and slower sales. Still, overall growth continues, though more slowly than in recent memory. The Nevada economy runs at or near capacity levels for almost all areas but housing … [Read more...] about July 2007: Business Indicators

Housing remains to be the weak sector in an otherwise growing economy, both nationally and in Nevada. Those who argued that there would be no slowdown in 2007 are in full retreat. Similarly, those foretelling doom continue to wait. Of course, the housing slowdown that began in 2006 has stalled some business activities and has created unknowns that cloud the future of some … [Read more...] about June 2007: Business Indicators

Some softening is apparent for Las Vegas and Reno in the recent indicators, though overall conditions remain favorable. The number of jobs is down for January 2007 in both Las Vegas and Reno, 1.3 and 2.8 percents, respectively. Job growth for January 2007 is up by more than 3 percent, however. Still unemployment rates remain below 5 percent. These rates are 4.7 for Las Vegas … [Read more...] about May 2007: Business Indicators

Job growth is one of a few key indicators for assessing current economic health. The most recent information for the U.S. economy shows more than 150,000 new jobs created and the unemployment rate at 4.5 percent. This job strength comes while two large sectors, housing and autos, have weakened. The slack in housing and automobiles has lowered expectations for growth in 2007. … [Read more...] about March 2007: Business Indicators

Residential construction and consumer spending grew at above average rates over the first five years of the new century. Starting at mid-year 2006, however, new home construction took a sharp downturn. A national housing recession is underway, though there are marked differences among regions of the country. Permitting is down by double-digit rates from year ago levels in Las … [Read more...] about February 2007: Business Indicators

We’ve been looking for a slowdown in the high-flying Nevada economy – and the most recent data show a more measured pace of activity. To be sure, housing activity, as reflected in monthly permitting, is down markedly in both Las Vegas and Reno (down 40 percent and 61 percent, respectively, for residences). A slowdown in housing has some benefits, however, helping other … [Read more...] about January 2007: Business Indicators