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End of ‘Texas slump’ near? Maybe, Dallas Fed says

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Written by Mike D. Smith

Click HERE to Read the Article by the Publisher.


Texas may have suffered through the worst of the energy sector slump, according to analysis by the Federal Reserve Bank of Dallas.

The Fed based its announcement on several economic indicators that may show Texas is beginning to shrug off the effects of depressed oil prices that have had sectors of its economy shivering for more than a year.

Job growth occurred in almost every major metro area in Texas during the third quarter, according to Fed figures. Statewide, employment grew at a rate of 2.6 percent — triple compared to the prior year and faster than the national rate. Though Texas energy job losses continue, the rate of job loss has slowed.

The Fed also cited its recent monthly surveys of Texas business owners that showed growth continues in the service sector and manufacturing. The median home price rose 6.1 percent in September, faster than the national median.

“Additionally, we’re starting to see some of the headwinds for the Texas economy wane, namely increases in the West Texas Intermediate crude oil price and some lessening in the strength of the trade-weighted value of the (U.S.) dollar,” Fed economist Amy Jordan said in a statement.

Crude prices had begun an upward trend in recent weeks. However, on Thursday, news that the country’s commercial stockpile had grown the most in more than three decades tanked oil prices below $45 per barrel.


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Written by Mike D. Smith

Click HERE to Read the Article by the Publisher.

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