Hints of Inflation To Cool Over Next Year, Survey Says

The Mid-American Business Conditions Index for May showed expanded growth for the nine-state region while providing a possible trend toward inflation.

The survey, published by Creighton University, reported wholesale inflation gauge for the month climbed to 74.0 from April’s 67.4. According to the survey, product and service supply managers expect wholesale price growth to cool to 2.9 percent for the next 12 months in contrast to the previous 12 months growth of 5.6 percent.

The Missouri Business Conditions Index rose to 51.2 in May from 49.5 in April. According to U.S. Bureau of Labor Statistics data, manufacturing employment expanded by 4.3 percent over the past 12 months while manufacturing hourly wages climbed by 6.8 percent over the same time.

When looking at Kansas the Business Conditions Index for May dropped to 43.1 from April’s 49.7. According to U.S. Bureau of Labor Statistics data, manufacturing employment expanded by 3.0 percent over the past 12 months while manufacturing hourly wages climbed by 10.6 percent over the same time.

Important to note the regional hiring gauge remained “slow-growth” for a fourth straight month with a reading of 52.3, up from April’s 52.2.

Read more on Creighton University Mid-American Business Conditions Index for May 2023 here.

Posted June 1, 2023