The third estimate for U.S. real gross domestic product (GDP) for 2024Q2 experienced a robust 3.0 percent annual growth rate, unchanged from the second estimate. Although the growth rate remained unchanged, the update reflected upward revisions in private inventory investment and federal government spending, partly offset by downward revisions in nonresidential fixed investment and exports. Seasonally adjusted U.S. non-farm payroll increased by 254,000 jobs in September, higher than the 202,500 average monthly gain over the prior 12 months.
September’s unemployment rate decreased slightly to 4.1 percent. Annual average hourly earnings climbed strongly by 4.0 percent year-over-year, reaching $35.36 and outpacing inflation.
Retail sales in August increased by 2.1 percent year-over-year, slightly lower than the CPI inflation of 2.6 percent over the same period. In its September meeting, the FOMC cut the federal funds rate by 50 basis points, following signs of a slowing labor market and increased recession risks. This move comes after the committee kept rates unchanged in August, as inflation showed further progress towards the 2-percent target but remained somewhat elevated.
Nevada posted somewhat mixed economic signals. Seasonally adjusted employment added 700 jobs in August. The unemployment rate increased to 5.5 percent from 5.4 percent in the prior month. July taxable sales declined by 1.7 percent year-over-year. August gaming revenue also experienced a 3.8 percent decrease compared to the previous year. Nevada air passengers, however, posted another year-over-year increase of 5.5 percent in August.
Clark County also exhibited mixed economic signals. Seasonally adjusted employment increased by 4,100 in August. The unemployment rate, however, increased for the fourth consecutive month, reaching 5.9 percent in August, its highest level since April 2022. Taxable sales in July continued to decrease year-over-year for the last three months, down by 4.4 percent. August gaming revenue declined by 4.4 percent, while visitor volume experienced a 3.1 percent increase from last year. August residential permits surged by 40.2 percent year-over-year.
Washoe County displayed generally favorable economic signals. Reno-Sparks seasonally adjusted employment experienced an increase of 600 jobs in August. The unemployment rate continued to increase by 0.1 percentage points to 4.7 percent. Taxable sales in July rose strongly by 11.9 percent from last year. Gaming revenue took a 1.3 percent hit year-over-year, but visitor volume posted an 8.3 percent increase in August. Residential permits in August decreased by 17.8 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.
