An Illinois economic index increased slightly in June but not enough to indicate growth. | Stock photo
An Illinois economic index increased slightly in June but not enough to indicate growth. | Stock photo
It could be a flash of hope.
The University of Illinois “Flash Index,” which measures economic activity in the state, increased in June to 93.1 from 92.8 in May.
The report was released on July 1.
J Fred Giertz, professor emeritus at University of Illinois at Urbana-Champaign.
| University of Illinois
It’s the first time the index has increased since February as the COVID-19 pandemic pushed the state and country into recession. Even so, the index has to top 100 before it indicates economic growth, the university's report said. It stood at 105.7 in February.
“While it is good news that the decline of the index has stopped, the national and Illinois economies face continued uncertainty with both upside and downside shocks possible depending on the spread of the virus and the reopening process,” University of Illinois economist J. Fred Giertz said in a statement.
In June, there were “hopeful signs” with the unemployment rate in Illinois dropping from 17.2% in May to 15.2%, the report found.
“Is the decline really over? What will be the speed of the recovery? This obviously depends in large part on the containment of the virus,” Giertz said.
The Flash Index measures factors such as corporate earnings, consumer spending and personal income adjusted for inflation.
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