The Midwest economy, including Missouri and Kansas, continued to expand in January, according to a survey of companies’ purchasing managers.
An index generated from the survey results climbed to 54.8 from December’s 54.4 reading. Any reading above 50 indicates expansion in the economy.
The regional gain came in spite of a national slow down in growth reflected in surveys of purchasing managers conducted by the Institute for Supply Management. Its index slipped to 53.5 in January from 55.1 in December.
Ernie Goss, an economist at Creighton University, noted that Midwest growth came despite layoffs at energy companies and agricultural businesses in the nine-state region.
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“I expect these job cuts to grow in the months ahead for states in the region. However, growth for companies outside of energy and agriculture will more than offset the declines in those sectors,” Goss said in the university’s report on the index and survey.
A similar index for Missouri climbed slightly to 56.1 from 55.7 in December. A Kansas index fell to 53.8 from December’s particularly strong reading of 62.6.