Statewide, Iowa — The monthly survey of business leaders across Iowa and eight other states finds the region’s economy remains weak and improved only slightly.
Creighton University economist Ernie Goss says the survey ranks the economy on a zero to 100 scale, with 50 being growth neutral.
Iowa’s overall Business Conditions Index for October sank below growth neutral to 49.8, falling from September’s 50.9. Supply managers across the region were asked about what they see as their biggest obstacles for the rest of the year and Goss says their responses focused on four key areas.
One telling factor on the October survey, Goss says, is how the Economic Confidence Index is at its lowest point since March of 2020 when the wide impact of the pandemic first kicked in. Also, hiring levels in Iowa and across the region are still lagging.
Inflation rates are still high, but Goss says they’re dropping and are now at the lowest level since August of 2020. He predicts inflation may reach six-percent during the fourth quarter.
