The “second” estimate for third quarter 2014 shows U.S. real gross domestic product increasing at an annualized rate of 3.9 percent, higher than the 3.5 percent growth initially reported. In the revision, personal consumption expenditures and nonresidential fixed investment increased more than previously estimated, while private inventory investment decreased less. Residential investment, federal government spending, and state and local government spending made positive contributions. Net exports made negative contributions. U.S. nonfarm employment experienced robust gains in November, adding 321,000 jobs over October. The unemployment rate remained constant at 5.8 percent. Housing starts were up substantially year-over-year, but housing prices experienced a slight decline. Auto/truck sales and retail sales remained above their level from last year. Consumer confidence and consumer sentiment both fell for the most recent data.
The Nevada economy evidenced mostly positive signals with the most recent data. Seasonally adjusted, statewide employment decreased by 7,300 jobs from September to October, but it was up 2.4 percent year-over-year. The Nevada unemployment rate fell from 7.3 percent to 7.1 percent. Taxable sales continued to show year-over-year growth, up 4.0 percent. Total air passengers were up 3.3 percent over the same time period. Gaming revenue, however, experienced losses for the month and was down 4.3 percent from October 2013.
For Clark County, seasonally adjusted employment fell from September to October by 1,700 jobs but was up 2.7 percent year-over-year. The Las Vegas unemployment rate fell from 7.2 percent to 7.0 percent. Total passengers at McCarran Airport were up 3.4 percent from a year earlier. October visitor volume was up 3.5 percent from a year ago. Gaming revenue was 6.2 percent lower than in October 2013fClark County’s taxable sales for September were 6.0 percent above those of a year earlier. Residential construction permits decreased from August to September. Commercial construction permits remained at a low level.
The most recent data show mostly positive signals for Washoe County as well. Seasonally adjusted, Reno-Sparks’ employment experienced a decrease from September to October of 1,500 jobs. Total employment is up over a year ago, by 2.0 percent. The seasonally adjusted Reno-Sparks unemployment rate fell from 6.8 percent to 6.6 percent. Compared to a year earlier, October visitor volume was up 3.5 percent. Total air passengers were up 1.6 percent from October 2013. Gaming revenues for October were up 6.8 percent from a year earlier. Residential construction increased from August to September, while commercial construction permits remained low.
Ryan T. Kennelly
UNLV Center for Business and Economic Research