Business conditions in the central San Joaquin Valley continue to show signs of progress, according to a new economic index issued this week by a Fresno State research economist.
The San Joaquin Valley Business Conditions Index, compiled by economist Ernie Goss for Fresno State’s Craig School of Business, was measured at 57.1 in July. That’s down slightly from the June index of 58.3, but it represents the 20th consecutive month in which the index was in positive territory above 50. An index of 50 is considered neutral, and anything higher suggests economic growth over the coming three to six months.
“A 57.1 is a pretty good reading; I would call it a healthy reading,” Goss said. “We had (employment) gains in manufacturing, which is very good news for the four-county area. … This will spill over into the broader economy in the weeks and months ahead.”
The index is produced from a survey of purchasing executives from companies in Fresno, Kings, Madera and Tulare counties. It considers factors including employment, wholesale prices, business confidence of executives, inventory, imports and exports, new orders, sales and delivery lead time.