SIOUX FALLS, S.D. (KELO AM) - Encouraging economic news this morning for a nine-state region including South Dakota: manufacturing is strengthening the economy.
The Creighton University Mid-America Business Conditions Index rose last month according to the latest survey results.
Director of the survey, Ernie Goss, says the Business Condition Index rose for the the third month in a row. Goss says it expanded to 60.5 and adds that's not like a high school test score, "that's good, that's pretty strong and it's up from 54.7 in January." Any score above 50 suggests growth.
Goss says the score indicates the nine-state regional economy is likely to expand in the next 3 to 6 months and expand at a pretty good pace.
Goss says the February employment index remained above growth neutral but did slip a bit. He's still calling employment in the region healthy but not super-charged strong.
He says rural job growth in the region continues to significantly lag that of urban areas.
And he says inflation continues to be a concern in the nine states. Inflation gauge is up 75, from 74.2 in January and he says there is some inflationary pressures building at the wholesale level. Supply managers say they're paying more for raw materials and supplies.
Goss says the February Business Confidence Index rose to 71.3 from 69.5 in January, the highest reading in six years.
The Creighton Economic Forecasting Group has conducted the monthly survey of supply managers in nine states since 1994.