May 2019 Press Release

Tallahassee’s Economic Growth Slows in May

Employment and Spending Indicators Show Weakness

Tallahassee, FL – The Tallahassee Economic Index (TEI), the city’s top economic growth indicator, today released numbers ending May 2019. Following a 5.15 point leap in April, the Index saw a 4.46 point tumble from 50.10 to 45.65 in May.

“This month the index saw a wide breadth of slowing across most categories. Ten out of fifteen indicators had negative monthly changes. The biggest drag on the index was Initial Claims for Reemployment Assistance, increasing 69.53% from last month and 7.99% from last May. This month saw the most claims since June of 2016.” said TEI Founder Brett F. Ewing. “Amidst the depressing news, a couple of our hottest inputs have kept up their momentum. Airport Traffic and Lumber/Building Supplies Sales just had their seventh and fourteenth months of seasonally adjusted growth, respectively.”

“The Index hit some turbulence in May, as positive news was thin spread. Consumer and business spending categories provided little to no help in keeping the charge going for the year. Despite having its strongest start to the year in over a decade, new construction permits paused its momentum and fell sharply from April.” Said Lance Mitchell, Director of Research at the TEI. “One of the two inputs that went up on both a monthly and yearly basis in May was Median Sale Prices of Existing Homes. This Input often hits its highest levels for the year around the summer months, this May is the highest May we have ever seen for this input and is just $4,600 below the all-time high from June 2017.”

• Realtor Sales commissioned a 8.44 percent gain from last month, but fell 1.4 percent from May of last year
• New Construction Building Permits got demolished falling 44.62 percent MoM, but stood strong gaining 12.50 percent YoY
• Store & Office Equipment Sales declined 34.74 percent from April, but grew 6.68 percent from May of last year