LUBBOCK, TX (KCBD) - The Lubbock economy continues to show a negative trend, but there is some good news. Lubbock's latest economic index, released Friday, shows retail sales are relatively flat. The year-to-date total is barely up compared to last year.
Analysts say spending declines are not deep or drastic at this point, but they do represent a pullback on the part of Hub City households and businesses. Construction is also on the decline, with commercial building down in the double digits, and, existing home sales continue to fall, with may marking the first significant price drop in the housing market. However, analysts say the decline may just be an adjustment back to typical price levels.
"The one bright spot in our report is Lubbock's unemployment rate is 4.6%, which right now is the lowest unemployment in the state of Texas," Lubbock National Bank Senior Vice President James Arnold said.
Meanwhile, across the nation families are putting more money into their piggy banks. The month of May saw the highest level of savings for families in 15-years. That's due to many families that are qualifying for the government's stimulus program are bolstering their nest eggs instead of spending it in the economy.
©2009 KCBD NewsChannel 11. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.