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Economic indicators in county show gains

San Diego Union-Tribune -- San Diego County's leading economic indicators grew in September by their largest percentage in more than five years, driven by rebounds in home-building and consumer confidence, according to a report released yesterday by the University of San Diego.

September was the fifth month in a row that the indicators have climbed, after three years of steady decline. Not since March 2004 — as the housing market was soaring to its greatest heights — has the index risen 1 percent in a single month.

Despite the recent growth, however, the index is only at 103.4 points — one of its lowest levels in the history of its data bank, which dates to 1977. It has improved since hitting a nadir of 100.7 in March. But it remains below where it was in January, at 105.7.

Economist Alan Gin, who compiles the index for USD's Burnham-Moores Center for Real Estate, said the indicators continue to point toward the economy hitting bottom by the first half of next year, although unemployment will likely lag behind the recovery.

“Economic activity may already be picking up, but businesses tend to be cautious in terms of hiring new workers until they are sure that a recovery has taken hold,” Gin said. (Full Story)