The Metro Denver region continues to see solid summer tourism numbers and employment indicators--such as increased nonfarm employment and declining unemployment claims--show positive momentum, according to data compiled by the Metro Denver Economic Development Corporation (Metro Denver EDC) in its Monthly Economic Summary for July 2011.Consumer confidence has slumped over the past two months as higher prices and continued weakness in real estate and labor markets impact households. While the household sector--a critical economic engine--is certainly not as strong as it could be, other data sources suggest households are still spending for summer travel. Statistics from Denver International Airport show passenger traffic through the first quarter of 2011 was on-par with traffic during the same months in record-breaking 2010. Also, average occupancy and room rates for Metro Denver hotels were both up over-the-year in May. Strong tourist activity this year would echo 2010, when, according to Longwoods International, both Denver and the state of Colorado welcomed record numbers of visitors. Clearly, today's recession-fatigued consumers are finding ways--perhaps through shorter trips, more conservative travel spending, and other means--to make summer vacation plans.
"Weaker consumer confidence could be temporary given the overall positive trends in the economic indicators on an annual basis," notes Tom Clark, executive vice president of the Metro Denver Economic Development Corporation. "We are seeing a significant increase in prospect activity across industries and are hopeful this will translate into new employment opportunities in the Metro Denver region over the medium term."
Tourism indicators--airport passengers and hotel occupancy--were among eight economic indicators that moved in a positive direction this month. Fourteen indicators moved in a positive annual direction. In last month's report, seven indicators moved in a positive monthly direction and fifteen did so annually.
Employment indicators are among those showing positive momentum on an annual basis. Nonfarm employment has risen 0.6 percent through May 2011 and 20 percent of companies plan to hire workers in the third quarter of this year. Additionally, unemployment claims are down 12.7 percent for the year through May.
The Monthly Economic Summary provides a snapshot of metro area economic activity, as well as its relationship to national and regional economic trends.
Read more:
» Summary on Metro Denver EDC's website
» Monthly Economic Summary - July 2011 (Entire document - PDF download)
