No state has been harder hit by the recession than Michigan, which leads the nation in unemployment at more than 15%, but a new study from Comerica Bank indicates that the state’s economy took a jump in August that might continue over the next few months. A press release on the study says:
Comerica Bank’s Michigan Economic Activity Index improved two points in July, to a level of 75. Compared to its cyclical low, the Index is now up five points, or seven percent. Year-to-date, the Index averages 73, down 14 points from the 2008 average.
June’s preliminary reading remains unchanged at 73.
“Our Index got a big boost from auto production in July,” said Dana Johnson, Chief Economist at Comerica Bank. “In all likelihood, gains in auto production and auto sales will continue to push our Index higher in the next couple of months reflecting, in part, the highly successful cash-for-clunkers program. More generally, Michigan businesses should see stronger demands for their products as the national recovery takes hold.”