Houston Economic Overview January 2013

7/30/2019 Houston Economic Overview January 2013

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January 2013 2012, Greater Houston Partnership Page 1

A publication of the Greater Houston Partnership Volume 22, Number 1 January2013

Houstons Big Three Three factors have guided Houstons economy in recent yearsenergy prices, the value of the dollar against foreign currencies, and the health of the U.S.economy. This issue ofGlance explores the impact each currently has on the region.

Energy Prices: Oil prices held strong in 12, butnatural gas prices remained weak. The spotprice for West Texas Intermediate, the U.S.

benchmark for light, sweet crude, closed at$91.83 a barrel on the last trading day of theyear, down $9.99 from where it started the yearbut significantly above the one-year and five-year averages. Natural gas at the Henry Hubclosed at $3.43 per thousand cubic feet (mcf) onthe last trading day of 12, up 46 cents from where it started the year and above the one-year average but well below the five-year average.

Crude prices had enough muscleto support an increase in oil-directed drilling in 12, but natu-ral gas prices sapped some of theindustrys strength. The numberof rigs drilling for oil rosethrough mid-summer, peaking at1,432 in early August but began to taper off in the fall. The number of rigs looking fornatural gas fell steadily throughout 12. The year finished with 244 fewer total rigs work-ing in North America than when it started. It began with 60 percent of all working rigs in

North America drilling for oil and 40 percent for natural gas. By December, 75 percent ofall rigs were drilling for oil and 25 percent for gas.

The slip in the rig count has slowed growth in energy employment. In January, employ-ment in oil and gas extraction grew at an 8.7 percent annual rate, hit a high of 11.1 per-cent in May, and by November, the latest month for which data is available, the rate hadslipped to 6.2 percent. Likewise, employment in oil field services grew at a 12.4 percentannual rate last January. By November, the rate settled in at 3.6 percent. While thoserates represent slower growth for the energy industry, the rates remain above the 3.2 per-

ENERGYPRICESIN'12

CrudeOil NaturalGas

$/bbl(1) $/mcf(2)

High

$109.39

$3.77

Low $77.72 $1.82

1YrAverage $94.04 $2.75

5YrAverage $86.02 $4.78

1WestTexasIntermediate 2HenryHub

Source:U.S.EnergyInformationAdministration

NORTHAMERICANDRILLINGRIGCOUNT

Weekof... OilRigs GasRigs Other Total

1/6/2012 1,191 811 5 2,007

12/28/2012 1,327 431 5 1,763

Change +136 380 0 244

Source:BakerHughes,Inc.


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HOUSTONTHE ECONOMY AT A GLANCE


cent overall employment growth rate for the region. The slower pace does suggest energywill not be as strong of an economic driver in 13 as it was in 12.

The U.S. Energy Information Administra-tion forecasts WTI to average $88.38 and

Henry Hub gas to average $3.79 in 13. Pri-vate sector forecasts are more bullish for oilprices, but not for natural gas. Theres justtoo much natural gas in inventory for pricesto improve substantially. Stronger U.S. eco-nomic growth, a harsh winter, a hot summer, and reduced production are needed to cutinventory and drive up prices. EIA estimates there is 3.5 billion cubic feet of natural gasin storage, 12.4 percent above the five-year average for the month of January.

The price of WTI will improve once the industrys ability to transport oil catches up with

its ability to produce it. Much of the nations crude passes through Cushing, Oklahoma,the delivery point for oil traded on the New York Mercantile Exchange. Many Midwes-tern refineries now source their crude directly from Canada and North Dakota creating aglut in Cushing. The glut has forced the industry to expand their tank farms there and in-ventories in Cushing have more than doubled in recent years. More pipeline capacity isneeded to siphon off that glut. The nations pipeline network is primarily designed tomove crude from Texas to the Midwest, not the other way around. In May, EnterpriseProducts Partners and Enbridge reversed the flow of the Seaway Pipeline, allowing oil toflow from the bottlenecked Cushing to the refinery complex along the Gulf Coast nearHouston. The line moves 150,000 barrels per day and with modification underway shouldreach 400,000 barrels per day this year. A twin pipeline on the existing right-of-way isunder construction and expected to increase Seaway's capacity to 850,000 barrels per dayby early 14. Other pipelines have been proposed or are under construction, including thehighly publicized Keystone Pipeline, which will connect Canada to Cushing with an ex-tension to Houston. Until these pipelines are built, the glut in Cushing will continue todepress WTI prices.

How much has the Cushing bottleneck depressed prices? The spread between WTI andBrent crude, a blend of North Sea oils used to benchmark two-thirds of the worlds oil,

provides some insight. Prior to September 10, the difference between WTI and Brent av-eraged $3 per barrel. This year started with Brent trading at $112.98 compared to $93.14for WTI. Obviously, other factors play a role in the price differentialexchange rates,local supply disruptions, geopoliticsbut the spread does suggest the penalty on WTIdue to U.S. transportation constraints.

PRIVATESECTORFORECASTS

WTI$/bbl '13

CreditSuisse

$102.75

GoldmanSachs $101.00

JPMorgan $96.00

BankofAmerica $90.00

Source:Variousbankforecasts


3/13



Value of the Dollar: The value ofthe U.S. dollar against major cur-rencies ended the year unchangedfrom where it started the year and7.5 percent below where it stood

four years ago, according to dataprovided by the Federal ReserveBank of St. Louis. The weakerdollar is important because itmakes the goods and servicesHouston sells overseas more af-fordable.

Between 09, the bottom of the re-cession in Houston, and 11, the

year Houston recovered, exports through the Houston-Galveston Customs District grew$44.1 billion or 58.7 percent, according to the U.S. Census Bureau. Houston benefitsfrom the traffic, but not all goods shipped via Houston originate here. The InternationalTrade Administration (ITA), with help from the Census Bureau, tracks the value of goodsthat originate from each metro area. Between 09 and 11, exports of goods manufacturedin Houston grew $38.6 billion, or 58.7 percent, according to the ITA1. This does not in-clude the value of services, i.e., engineering, design, construction management, IT con-sulting, that Houston firms sell overseas. Data on the export of services is scare at eventhe national level, but the Partnership has identified approximately 1,500 Houston service

companies doing business overseas, companies which also benefit from a weak U.S. cur-rency.

So whats the outlook for the dollar? Three times a year, theNational Association for Business Economics (NABE) sur-veys several dozen prominent economists seeking their in-sights into the direction of the U.S. economy. The consensusfrom the December 12 survey is that the trade-weighted val-ue of the dollar will remain unchanged in 13. That consensushas held constant for the past three NABE surveys. Given

that outlook, Houstons export-oriented industries should dowell this year.

Health of the U.S. Economy: The U.S. economy has im-proved over the past three years. From the lowest point during the recession, housingstarts are up 80.1 percent, auto sales up 71.6 percent, real retail sales2 up 11.4 percent,

1 Some goods produced here actually leave via ports other than Houston.2 Adjusted for growth due to inflation

50

55

60

65

70

75

80

85

90

Jan09 Jul09 Jan10 Jul10 Jan11 Jul11 Jan12 Jul12 Jan13

March'73Value=100

Source:FederalReserveBankofSt.Louis

TradeWeightedU.S.DollarIndexMajorCurrencies

CountriesintheTrade

WeightedU.S.DollarIndex

Argentina, Australia,Brazil,

Canada,Chile,China,Colombia,

Europe(Eurocountries),Hong

Kong,India,Indonesia,Israel,

Japan,SouthKorea,Malaysia,

Mexico,Philippines,Russia,

SaudiArabia,Singapore,Swe

den,Switzerland,

Taiwan,

Thailand,UnitedKingdomand

Venezuela


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initial claims for unemployment insurance are down 45.4 percent and the U.S. unem-ployment rate has fallen from a high of 10.0 percent to a low 7.8 percent in December.The nation has also created 4.8 million jobs over the past three years, though still 4.0 mil-lion short of the previous employment peak.

SELECTEDU.S.

ECONOMIC

INDICATORS

Recent

PeakDate

Recession

TroughDate

Current

LevelDate

Improvement

SinceTrough

Nonfarm

Employment1138.0million

Jan08129.2million

Feb10134.0million

Dec124.8

million

CivilianUnem

ployment Rate14.4% Mar07 10.0% Oct09 7.8% Dec12 2.2%

InitialClaims

ForUnempIns2302,000 May07 659,250 Mar09 359,750 Dec12 299,500

Industrial

Production3

100.7 Dec07 83.4 Jun09 97.5 Nov12 14.1

SingleFamily

HousingStarts41.495million

Mar07 478,000 Apr09 861,000 Nov12 383,000

Autos&Light

TruckSales416.705million

Feb079.021million

Feb0915.481million

Nov126.460million

QuarterlyReal

RetailSales5$178.8

billionQ2/07

$159.2billion

Q2/09$177.3

billionQ2/12

$18.1billion

(1)SeasonallyAdjusted(2)SeasonallyAdjusted4WeekMovingAverage(3)07=100(4)SeasonallyAdjustedAnnualRate

(5)AdjustedforInflation

Sources:U.S.BureauofLaborStatistics,U.S.DepartmentofLaborEmploymentandTrainingAdministration,BoardofGov

ernorsFederal

Reserve

System;

U.S.

Census

Bureau,

U.S.

Bureau

of

Economic

Analysis,

Federal

Reserve

Bank

of

St.

Louis.

Recent reports on U.S. gross domestic product (GDP) reflect an improving economy.Real GDP (i.e. growth once inflation has been factored out) increased at an annual rate of3.1 percent in the third quarter of 12, up from a tepid 1.3 percent rate in the second quar-ter. GDP growth is important to Houston for two reasons. First, Houston does not existin a bubble. The metro is part of the United States (though we would sometimes rathernot admit it). Second, strong GDP growth translates into healthy demand for Houstonskey products and servicesenergy, chemicals, plastics, industrial equipment, engineer-ing, and health care. Houston receives an additional stimulus to its economy when U.S.GDP grows at a 3.0 percent or better annual rate. Slower growth doesnt signify a down-turn for Houston. Slower growth means that Houston must rely on the other driversenergy and foreign tradeto create jobs in the region, which has been the case the pastthree years.

Most forecasters expect the uncertainty over U.S. fiscal policy to limit growth in the firsthalf of 13. If Congress makes significant progress by mid-year toward resolving the


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challenges, GDP growthshould pick up. The con-sensus among NABEeconomists is for realGDP growth to reach 3.0

percent by the fourthquarter of 13.3

Air Traffic Update The Houston AirportSystem (HAS) handled46.17 million passengersthrough the first elevenmonths of this year, a 1.0percent increase from the

45.72 million handledover the same time lastyear. This is the strongest January-to-November performance since the recession beganin the fall of 08. International traffic rose 1.9 percent to 8.02 million passengers, upfrom 7.87 million travelers compared to the first eleven months 11. Domestic trafficgrew 0.8 percent to 38.15 million passengers, up from 37.85 million passengers over thesame period in 11.

During the first eleven months of 12, three out of four domestic passengers handled byHAS passed through George Bush Intercontinental Airport (IAH). While IAH handledthe majority of domestic travel, activity at William P. Hobby Airport (HOU) was respon-sible for all domestic passenger growth. International traffic accounted for 17.4 percent oftotal HAS passenger traffic but a third of total passenger growth. Most of the growth oc-curred in travel between Houston and Asia, Africa and Australia.

Foreign Trade Update More than $231.6 billion in foreign trade passed through theHouston-Galveston Customs District in the first 10 months of 12, a 4.8 percent increasefrom $221.1 billion handled during the same period in 11. Exports totaled $104.8 billionfrom January through October 12, up 7.6 percent from $97.5 billion the previous year.

Imports totaled $126.7 billion through Oct, a 2.5 percent increase from the same period in11.

From January through October 12, exports totaled $104.8 billion. Five commodi-ties accounted for 75.2 percent of all exports through the district: mineral fuel andoil ($38.5 billion), industrial machinery ($15.5 billion), organic chemicals ($14.0billion), plastics ($5.7 billion) and electric machinery ($5.0 billion).

3 A summary of the most recent NABE forecast can be found at http://nabe.com/outlook/Dec_2012_NABE_Outlook.

0

5

10

15

20

25

30

35

40

45

50

'02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12

#ofPassengers,

millions

HoustonAirportSystemPassengerVolume

NovemberYTDComparisons

International Domestic

Source: HoustonAirportSystem


6/13



Imports totaled $126.7 billion in the first ten months of 12, up 2.5 percent from$123.6 billion a year earlier. Five commodities accounted for 79.9 percent of allimports through the district: mineral fuel and oil ($73.9 billion), industrial machi-nery ($8.9 billion) articles of iron and steel ($8.7 billion), electric machinery ($5.7billion) and organic chemicals ($3.9 billion).

Employment Update The Houston-Sugar Land-Baytown Metropolitan StatisticalArea added 85,300 net new jobs, a 3.2 percent annual increase, in the 12 months endingNovember 12, according to data released in December by the Texas Workforce Com-mission. The private sector added 86,600 jobs, a 3.8 percent annual increase, during thesame time frame. Houston continues to lead the states economy, with no other metroadding as many jobs.

Houston's November unemployment rate was 5.8 percent, down from 7.3 percent in No-vember 11. Texas' unemployment rate was 5.8 percent, decreasing from 7.2 percent inNovember 11. The U.S. rate was 7.4 percent, a drop from 8.2 percent the past Novem-ber. This is the lowest unemployment rate for Houston, Texas and the nation since De-cember 08. The rates are not seasonally adjusted.

Patrick Jankowski, Jenny Philip and Pooja Patelcontributed to this issue of

Houston:The Economy at a Glance

ChangeinNonfarmPayrollEmployment,TexasMetros

Nov11Nov12

Metro Jobs Added % Change Metro Jobs Added % ChangeHouston 85,300 3.2 Amarillo 1,800 1.6

Dallas-Ft Worth 72,600 2.5 Beaumont 1,600 1.0

Austin 35,300 4.4 Longview 1,200 1.2

San Antonio 21,000 2.5 Wichita Falls 1,200 2.1

El Paso 4,600 1.6 Sherman 700 1.6

Odessa 4,000 5.9 San Angelo 600 1.3

Corpus Christi 3,500 1.9 Victoria 100 0.2

Killeen-Temple 2,600 2.0 McAllen 0 0.0

Waco 2,600 2.5 Laredo -400 -0.4

Texarkana 2,500 4.3 College Station -1,200 -1.2

Midland 2,400 3.2 Lubbock -2,000 -1.5

Tyler 2,100 2.2 Brownsville -3,200 -2.5

Abilene 2,000 3.1

Source: Texas Workforce Commission


7/13



STAY UP TO DATE!

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If you are a non-member and would like to receive this electronic publication on the first working dayof each month, please email your request for Economy at a Glance to [email protected] your name, title and phone number and your companys name and address. For informationabout joining the Greater Houston Partnership and gaining access to this powerful resource, callMember Services at 713-844-3683.

The Key Economic Indicators table is updated whenever any data change typically, 11 or so

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You may request Glanceand Indicatorsin the same email.


8/13



Houston Economic Indicators

A Service of the Greater Houston Partnership

Most Year % Most Year

Month Recent Earlier Change Recent Earlier Chan

ENERGY

U.S. Active Rotary Rigs Dec '12 1,784 2,003 -10.9 1,916 * 1,879 *

Spot Crude Oil Price ($/bbl, West Texas Intermediate) Dec '12 87.86 98.56 -10.9 94.05 * 94.88 * -

Spot Natural Gas ($/MMBtu, Henry Hub) Dec '12 3.34 3.17 5.4 2.75 * 4.00 * -3

UTILITIES AND PRODUCTION

Houston Purchasing Managers Index Nov '12 54.6 61.6 -11.4 58.9 * 60.3 * -

Nonresidential Electric Current Sales (Mwh, CNP Service Area) Nov '12 4,209,166 4,083,403 3.1 47,199,764 47,510,401 -

CONSTRUCTION

Total Building Contracts ($, Houston MSA) Nov '12 796,169,000 607,897,000 31.0 9,868,636,000 8,177,220,000 2

Nonresidential Nov '12 256,836,000 190,525,000 34.8 3,401,286,000 3,289,722,000

Residential Nov '12 539,333,000 417,372,000 29.2 6,467,350,000 4,887,498,000 3

Building Permits ($, City of Houston) Nov '12 493,549,879 311,260,200 58.6 4,499,025,092 3,322,047,855 3

Nonresidential Nov '12 224,128,211 239,101,648 -6.3 2,823,238,877 2,234,317,946 2

New Nonresidential Nov '12 72,956,012 95,781,160 -23.8 1,176,203,989 957,519,171 22

Nonresidential Additions/Alterations/Conversions Nov '12 151,172,199 143,320,488 5.5 1,647,034,888 1,276,798,775 29

Residential Nov '12 269,421,668 72,158,552 273.4 1,675,786,215 1,087,729,909 5

New Residential Nov '12 246,308,515 54,382,941 352.9 1,446,496,425 891,927,467 62

Residential Additions/Alterations/Conversions Nov '12 23,113,153 17,775,611 30.0 229,289,790 195,802,442 1Multiple Listing Service (MLS) Activity

Closings Nov '12 5,891 4,607 27.9 68,627 58,225 1

Median Sales Price - SF Detached Nov '12 167,000 154,500 8.1 161,891 * 153,038 *

Active Listings Nov '12 37,909 46,674 -18.8 41,128 * 49,411 * -1

EMPLOYMENT (Houston-Sugar Land-Baytown MSA)

Nonfarm Payroll Employment Nov '12 2,728,200 2,642,900 3.2 2,677,637 * 2,588,273 *

Goods Producing (Natural Resources/Mining/Const/Mfg) Nov '12 520,100 492,900 5.5 507,882 * 485,673 *

Service Providing Nov '12 2,208,100 2,150,000 2.7 2,169,755 * 2,102,600 *

Unemployment Rate (%) - Not Seasonally Adjusted

Houston-Sugar Land-Baytown MSA Nov '12 5.8 7.3 6.9 * 8.3 *

Texas Nov '12 5.8 7.2 6.9 * 8.1 *

U.S. Nov '12 7.4 8.2 8.1 * 8.9 *

FOREIGN TRADE (Houston-Galveston Customs District)

Port of Houston Authority Shipments (Short Tons) Nov '12 3,584,946 3,414,188 5.0 40,335,210 38,960,537Air Passengers (Houston Airport System) Nov '12 4,053,579 4,064,699 -0.3 46,172,301 45,719,636

Domestic Passengers Nov '12 3,401,426 3,429,676 -0.8 38,153,911 37,850,597

International Passengers Nov '12 652,153 635,023 2.7 8,018,390 7,869,039

Landings and Takeoffs Nov '12 64,788 68,148 -4.9 748,832 784,821 -

Air Freight (metric tons) Nov '12 35,707 35,470 0.7 384,034 386,749 -

Enplaned Nov '12 17,941 18,456 -2.8 198,636 198,973 -

Deplaned Nov '12 17,766 17,014 4.4 185,398 187,776 -

CONSUMERS

New Car and Truck Sales (Units, Houston MSA) Nov '12 18,760 20,669 -9.2 299,632 235,010 2

Cars Nov '12 8,051 8,324 -3.3 132,261 99,453 3

Trucks, SUVs and Commercials Nov '12 10,709 12,345 -13.3 167,371 135,557 2

Total Retail Sales ($000,000, Houston MSA, NAICS Basis) 2Q12 25,809 24,595 4.9 50,442 46,984

Consumer Pr ice Index for All Urban Consumers ('82-'84=100)

Houston-Galveston-Brazoria CMSA Nov '12 204.139 201.398 1.4 204.478 * 200.454 *United States Nov '12 230.221 226.23 1.8 229.593 * 224.873 *

Hotel Performance (Harris County)

Occupancy (%) 3Q12 64.3 58.1 66.5 * 60.5 *

Average Room Rate ($) 3Q12 90.09 86.25 4.5 94.22 * 91.24 *

Revenue Per Available Room ($) 3Q12 57.90 50.11 15.5 62.68 * 55.28 * 1

POSTINGS AND FORECLOSURES

Postings (Harris County) Dec '12 2,061 4,338 -52.5 34,730 43,832 -2

Foreclosures (Harris County) Dec '12 678 1,169 -42.0 9,993 11,092 -

YEAR-TO-DATE TOTAL or

YTD AVERAGE*MONTHLY DATA


9/13



SourcesRig Count Baker Hughes IncorporatedSpot WTI, Spot Natural Gas U.S. Energy Information Admin.Houston Purchasing Managers National Association ofIndex Purchasing Management

Houston, Inc.Electricity CenterPoint EnergyBuilding Construction Contracts McGraw-Hill Construction

City of Houston Building Permits Building Permit Department, Cityof Houston

MLS Data Houston Association of RealtorsEmployment, Unemployment Texas Workforce Commission

Port Shipments Port of Houston AuthorityAviation Aviation Department, City of

HoustonCar and Truck Sales TexAuto Facts Report,

InfoNation, Inc., Sugar Land TXRetail Sales Texas Comptrollers OfficeConsumer Price Index U.S. Bureau of Labor Statistics

Hotels PKF Consulting/Hospitality AssetAdvisors InternationalPostings, Foreclosures Foreclosure Information & Listing

Service


10/13



HOUSTON MSA NONFARM PAYROLL EMPLOYMENT (000)Change from % Change from

Nov '12 Oct '12 Nov '11 Oct '12 Nov '11 Oct '12 Nov '11

Total Nonfarm Payroll Jobs 2,728.2 2,717.0 2,642.9 11.2 85.3 0.4 3.2 Total Private 2,352.5 2,343.6 2,265.9 8.9 86.6 0.4 3.8

Goods Producing 520.1 521.8 492.9 -1.7 27.2 -0.3 5.5

Service Providing 2,208.1 2,195.2 2,150.0 12.9 58.1 0.6 2.7

Private Service Providing 1,832.4 1,821.8 1,773.0 10.6 59.4 0.6 3.4

Mining and Logging 96.5 96.0 91.9 0.5 4.6 0.5 5.0Oil & Gas Extraction 53.3 53.0 50.2 0.3 3.1 0.6 6.2Support Activities for Mining 40.8 40.7 39.4 0.1 1.4 0.2 3.6

Construction 185.9 189.5 170.6 -3.6 15.3 -1.9 9.0

Manufacturing 237.7 236.3 230.4 1.4 7.3 0.6 3.2Durable Goods Manufacturing 161.0 159.2 152.7 1.8 8.3 1.1 5.4Nondurable Goods Manufacturing 76.7 77.1 77.7 -0.4 -1.0 -0.5 -1.3

Wholesale Trade 142.3 141.7 137.0 0.6 5.3 0.4 3.9

Retail Trade 289.7 278.2 280.7 11.5 9.0 4.1 3.2

Transportation, Warehousing and Utilities 127.4 126.4 122.3 1.0 5.1 0.8 4.2Utilities 17.3 17.4 16.4 -0.1 0.9 -0.6 5.5

Air Transportation 19.2 19.2 19.7 0.0 -0.5 0.0 -2.5Truck Transportation 23.7 23.7 22.5 0.0 1.2 0.0 5.3Pipeline Transportation 10.8 10.7 10.5 0.1 0.3 0.9 2.9

Information 31.4 31.4 31.5 0.0 -0.1 0.0 -0.3Telecommunications 15.7 15.6 15.9 0.1 -0.2 0.6 -1.3

Finance & Insurance 91.8 92.8 90.7 -1.0 1.1 -1.1 1.2

Real Estate & Rental and Leasing 48.8 48.9 48.8 -0.1 0.0 -0.2 0.0

Professional & Business Services 384.7 388.4 388.5 -3.7 -3.8 -1.0 -1.0Professional, Scientific & Technical Services 182.6 185.7 187.8 -3.1 -5.2 -1.7 -2.8

Legal Services 23.3 23.4 23.3 -0.1 0.0 -0.4 0.0Accounting, Tax Preparation, Bookkeeping 17.1 16.9 17.5 0.2 -0.4 1.2 -2.3

Architectural, Engineering & Related Services 59.6 60.7 63.4 -1.1 -3.8 -1.8 -6.0

Computer Systems Design & Related Services 26.9 27.2 25.8 -0.3 1.1 -1.1 4.3

Admin & Support/Waste Mgt & Remediation 181.1 181.4 179.5 -0.3 1.6 -0.2 0.9Administrative & Support Services 171.1 170.8 169.8 0.3 1.3 0.2 0.8

Employment Services 80.0 78.9 72.5 1.1 7.5 1.4 10.3

Educational Services 44.6 44.6 44.3 0.0 0.3 0.0 0.7

Health Care & Social Assistance 306.8 304.9 285.8 1.9 21.0 0.6 7.3

Arts, Entertainment & Recreation 27.6 27.5 25.7 0.1 1.9 0.4 7.4

Accommodation & Food Services 236.3 236.1 222.2 0.2 14.1 0.1 6.3

Other Services 101.0 100.9 95.5 0.1 5.5 0.1 5.8

Government 375.7 373.4 377.0 2.3 -1.3 0.6 -0.3Federal Government 27.2 27.4 27.5 -0.2 -0.3 -0.7 -1.1State Government 73.9 73.7 72.8 0.2 1.1 0.3 1.5State Government Educational Services 40.1 39.9 39.9 0.2 0.2 0.5 0.5

Local Government 274.6 272.3 276.7 2.3 -2.1 0.8 -0.8Local Government Educational Services 193.8 191.4 193.7 2.4 0.1 1.3 0.1

SOURCE: Texas Workforce Commission


11/13



Source: National Association for Purchasing Management - Houston, Inc.


30

35

40

45

50

55

60

65

70

Jan-02 J an-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 J an-11 Jan-12 J an-13

PURCHASING MANAGERS INDEXHOUSTON & U.S. 2002-2012

HOUSTON U.S.

-120

-100

-80

-60

-40

-20

0

20

40

60

80

100

120

140

160

1,950

2,000

2,050

2,100

2,150

2,200

2,250

2,300

2,350

2,400

2,450

2,500

2,550

2,600

2,650

2,7002,750

2,800

Jan-02 Jan-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13

12-MONTH

CHANGE

(000)

NONF

ARM

PAYROLLEMPLOYMENT

(000)

HOUSTON MSA EMPLOYMENT2002-2012

12-MONTH CHANGE JOBS


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1,600

1,650

1,700

1,750

1,800

1,850

1,900

1,950

2,000

2,050

2,100

2,150

2,200

2,250

430

440

450

460

470

480

490

500

510

520

530

540

550


SERVICE-PROVIDING

(000)

GOODS-PRODUCING

(000)

GOODS-PRODUCING AND SERVICE-PROVIDING EMPLOYMENTHOUSTON MSA 2002-2012

GOODS-PRODUCING JOBS SERVICE-PROVIDING JOBS

0

1

2

3

4

5

6

7

8

9

10

11


PERCENTOFLABORFORCE

UNEMPLOYMENT RATEHOUSTON & U.S. 2002-2012

HOUSTON U.S.


13/13



Source:U.S. Energy Information Administration

Source: U.S. Bureau of Labor Statistics

0

4

8

12

16

20

24

28

0

20

40

60

80

100

120

140


HENRYHUBNATURALGAS($/MMBTU)

WESTTEXASINTERMEDIATE($/BBL)

SPOT MARKET ENERGY PRICES2002-2012

WTI Monthly WTI 12-MO AVG GAS MONTHLY GAS 12-MO AVG

-3%

-2%

-1%

0%

1%

2%

3%

4%

5%

6%


INFLATION: 12-MONTH CHANGE2002-2012

HOUSTON CPI-U U.S. CPI-U

Houston Economic Overview January 2013

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Transcript of Houston Economic Overview January 2013