Barring Disaster in Europe, Texas Economy Should Grow in Fourth Quarter
by: Andrew Schneider, November 24, 2011 6:11:00 am
Comerica Bank chief economist Robert Dye says the Texan economy is generally strong. Businesses are hiring. Exports are up. Oil prices around $95 dollars a barrel are keeping rigs humming. But Dye offers a word of caution.
“A moderately growing U.S. economy is vulnerable to a severe recession in Europe, if that would happen. And certainly [with] both those conditions, we would feel the drag in Texas as well.”
Barring disaster in Europe, Dye says Texas should grow faster in the fourth quarter than in the third.
“I expect hiring to continue. I expect the unemployment rate to continue to tick down, and I think we finish the year with some decent holiday sales for Texas retailers.”
On Wednesday, real GDP growth for the third quarter was revised down to 2%, thanks in large part to a drag from falling inventories. That tempered positive news on personal income, existing home sales, and consumer sentiment.