OMAHA, Nebraska -- The new nine-state Mid-America Business Conditions Index is showing big economic growth from February to March.
Last month's reading was 71.3 on a 0-100 scale, with 50 being growth-neutral.
"That's the highest reading since July of 2021 and is up from February's reading of 64. This is almost--I won't call it a shocker--but I was surprised it was so strong," says Creighton University Economist Ernie Goss.
He says the Index for March is also showing some familiar challenges to the region's economy through the rest of the year.
"Seven out of 10 supply managers say supply chain disruptions were the biggest issue facing their companies for the year. Two out of 10 named higher inflation with accompanying higher interest rates," Goss says.
He also says there may be some dark clouds on the economic horizon.
"Economic growth will slow, and potentially move into negative territory. Supply chain disruptions will remain, largely being driven by the Russian invasion of Ukraine. We're also going to see short-term interest rates rise by a least another three-quarters of a percent by the end of the year," Goss says.
The monthly Mid-America Business Conditions Index surveys business managers in Iowa, Nebraska, Arkansas, Kansas, Minnesota, Missouri, North Dakota, Oklahoma, and South Dakota.