Statewide, Iowa (RI) – Iowa’s economy continues to show signs of stagnation along with the nine-state Midwestern region, according to the monthly survey of supply managers by Creighton University.
On the 0-to-100 scale, a score of 50 is considered growth neutral, the midway point between an economy growing or shrinking. Iowa’s Business Conditions Index for July fell below 44 after a score of 48 in June. Creighton economist Ernie Goss says the Midwest as a whole faired a little better.
According to federal data, Iowa’s manufacturing sector exported $6.2 billion in goods during the first five months of this year, compared to $6.9 billion for the same period a year ago. Goss says that’s a drop of more than 10 percent.
Looking ahead six months, the region’s Business Confidence Index fell from a score of 50 in June to below 43 in July. Goss says concerns about tariffs and slowing new orders pushed supply managers’ expectations lower. He says only one in six supply managers expect economic conditions to improve in the next six months. Goss describes himself as “a vocal critic of tariffs, not of President Trump, just of that policy of his.”
The survey shows employment losses for the region for the fourth-straight month. He says the Midwest lost nearly 13,000 jobs during the past year, while the nation lost more than 89,000 jobs.
