The Federal Reserve’s latest “Burgundy Book” – a region-specific complement to its “Beige Book” – shows that the Memphis metro area’s economy is performing “better than the nation in some aspects but worse in other respects.”
“In terms of employment growth, Memphis has performed similar to the nation. Housing activity in the Memphis area thus far in 2012 has been much stronger than the nation’s pace of activity. At the same time, house prices over the past four quarters have declined a bit more in Memphis than for the nation and Memphis’ unemployment rate remains higher than the nation’s rate.”
Five points to note, from the report –
- Annual Changes in Employment: In July 2012, Memphis’s nonfarm payroll employment was 1.4 percent higher than a year earlier.
- Short-Term Changes in Employment: Between April 2012 and July 2012, Memphis’s local employment increased by about 0.1 percent per month … The report notes “Employment changes in the Memphis MSA have been unusually volatile lately.”
- Unemployment Rate: Similar to the nation, Memphis’ unemployment rate has risen modestly over the past three months.
- Building Permits: The number of building permits issued in the Memphis zone during the first seven months of 2012 was an astounding 78 percent higher than the number issued during the same period in 2011.
- House Prices: During the second quarter of 2012, housing prices in Memphis were 1 percent below the same quarter a year earlier.