Wichita Falls economy presents mixed signals

WICHITA FALLS – With no clear change in direction suggested by the economic data for May, the Wichita Falls Economic Index remains at 105.3, unchanged from the April index value, but an improvement of 0.7 percent compared with May 2013.

Both retail sales and receipts from sales and use taxes remain strong and improving in both the month-to-month and year-over-year comparisons.

Both the number of new permits issued and the estimated value of the newly permitted construction are lower by more than 75 percent in the month-to-month comparison with May 2013. Compared with May 2013, the number of closings are lower by 2.8 percent and average sales price is lower by 3.8 percent.

The number of local jobs estimated for May is lower by 1.5 percent compared with May 2013. At the same time, the growth in the number of local jobs during 2014 is estimated to be 379 more than were added during the first five months of 2013.

The unemployment rate in May is slightly higher than in April at 4.7 percent and 4.4 percent respectively. The increase in the number of jobs and the slight increase in the unemployment rate suggest that some discouraged workers have begun to return to the workforce. This may be an indication that local employment prospects are improving.

The local number of active rigs during May is nearly 50 percent lower compared with last year, continuing the trend of reduced exploration activities that has been evident for the past several months.