Weak National Job Growth Will Affect Colorado Workers
The May job numbers that were released today are worse than economists were expecting with the nation’s unemployment rate edging up to 8.2%. But Colorado’s numbers are better, albeit slightly.
That’s according to the latest Mountain States Business Index Survey of supply managers which looks at new orders, production or sales, employment, inventories and delivery lead time.
“The numbers were fairly strong for Colorado,” says Goss Institute for Economic Research director Ernie Goss. “Anything above 50 is growth natural. So above 60 is fairly strong.”
The May employment index advanced to 62.9 for the three state region including Colorado, Utah and Wyoming.
As a state Goss says Colorado is doing well with businesses tied to agriculture and energy production. But Goss says fears that the national economy is weakening combined with the lack of a national energy policy may hurt Colorado’s energy sector.
I expect this morning's weak manuf. reports & even weaker jobs report to push Fed. to take June action. Record low mort. rates even lower.
— Ernie Goss (@erniegoss) June 1, 2012
“I expect somewhat weaker growth or somewhat weaker numbers from energy to spill over into Colorado and the lack of economic growth from the national economy will have some negative impacts for Colorado,” says Goss.
The forecast for softer U.S growth follows Friday’s report from the Labor Department that showed U.S. employers created just 69,000 jobs for the month of May which is the fewest in a year.