June 2013 Houston Economy at a Glance


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June 2013 Houston Economy at a Glance

  1. 1. June 2013 ©2013, Greater Houston Partnership Page 1A publication of the Greater Houston Partnership Volume 22, Number 6  June 2013Prosperity Fueled by Oil and Gas – Houston owes much of its current good fortune to thethriving energy industry. Since January ’10, the three pillars of upstream energy—explora-tion and production, oil field services and equipment manufacturing—have created 39,200jobs. Though upstream represents onlyone in every 20 jobs in the region, thesector accounts for one in every eightjobs created in the recovery and expan-sion. Engineering and fabricated metalproducts, sectors closely aligned withenergy, have created another 24,900jobs. Together, these sectors representone in every five jobs created in Hous-ton since the bottom of the recession.Job growth in energy is important fortwo reasons that somewhat overlap—the multiplier effect and the high level of pay in the in-dustry. The U.S. Bureau of Economic Analysis (BEA) has studied how inputs from one in-dustry in a region support the outputs of other industries in that region. In Houston, withmore than 3,700 firms engaged in the energy business, those supply links are wide and deep.According to the BEA, each exploration job in Houston supports another seven jobs else-where in the region. Each job in oilfield services supports another 11 in the region.Jobs in energy also pay well. According to theQuarterly Census of Employment and Wages(QCEW), the average annual wage in oil and gasextraction in the metro area exceeds $220,000.Granted, that’s an average, but it’s well above the$65,300 average for the region as a whole. Onemight say that a single job in energy explorationhas the impact on the consumer market of threetypical jobs elsewhere in the economy. Jobs in en-gineering, oil field equipment manufacturing and oil field services also pay above average.It’s no wonder the energy sector accounts for $7.1 billion―nearly one-third―of the $22.7billion increase in wages and salaries the region has recorded since January ’10. Energy in-dustry jobs also often include generous benefits packages.JOBS CREATED IN HOUSTON METRO AREAJanuary ’10 through April ’13Industry/Sector Jobs % of TotalOil and Gas Extraction 10,600 3.5Oil Field Services 16,600 5.4Oil Field Equipment Manufacturing 12,000 3.9Fabricated Metal Products 13,400 4.4Architectural and Engineering Services 11,500 3.8Energy and Energy Related Subtotal 64,100 21.0All Other Industries/Sectors 241,400 79.0Total Houston Region 305,500 100.0Source: Texas Workforce CommissionAVERAGE ANNUAL SALARIES – Calendar ’12Energy-Related Industries, Houston Metro AreaOil and Gas Extraction $223,652Oil Field Services $122,356Oil Field Equipment Manufacturing $117,884Architectural and Engineering Services $117,832Fabricated Metal Products $73,944Average - All Industries in Houston $65,312Source: Quarterly Census of Employment and Wages
  2. 2. HOUSTON—THE ECONOMY AT A GLANCEJune 2013 ©2013, Greater Houston Partnership Page 2Several industries owe their current prosperity to the energy industry. According to CBRE,4.5 million square feet (msf) of the 8.0 msf in office space currently under construction iseither in the Energy Corridor or build-to-suit space for an energy company elsewhere in theregion. This does not include the estimated 3.0 msf office campus Exxon is building in thenorthern part of Harris County. Local merchants rang up $30.6 billion in sales last year, a$2.9 billion increase over ’10, a direct benefit of the increased purchasing power from theenergy sector. And the Houston Association of Realtors®(HAR) reports that the number ofhomes priced at $250,000 and above—the prime market for those earning energy industrysalaries—has risen for 15 consecutive months.Given the role energy has played in Houston’s re-covery and ongoing expansion, two questions arise.First, has the current boom made Houston onceagain overly dependent on energy? Many residentsfear a repeat of the ’80s, when oil prices collapsed,taking one in seven jobs with them. Second, howlong can the industry grow at its current pace? Ear-ly signs suggest the current industry cycle mayhave begun to slow.Assessing whether Houston has become too dependent on oil and gas poses a challenge.Over the past three decades, geographies, industry classifications and data series havechanged.1Where good data are available, they don’t reach back to the ’80s, a time when eve-ryone agrees Houston was too dependent on upstream energy.Perhaps the simplest way to assess Houston’s ―energy dependence‖ is to measure the shareof local wages and salaries attributable to the industry over time. These data are available inthe QCEW going back to ’90, but the level of industry detail is limited. Wage data are avail-able only for ―natural resources and mining,‖ but not for energy services, equipment manu-facturing, or engineering. For the purposes of this analysis, ―natural resources and mining‖serves as a proxy for the industry as a whole.A review of QCEW data shows that energy’s share of Houston-area wages held constantthroughout the ’90s, which is not surprising given that oil prices hovered around $20 per bar-rel during that time and the decade ended with only 1,500 more employees working in natu-ral resources and mining than when the decade began. Oil prices didn’t rise until the mid-’00s, about the time hiring picked up and energy began to account for a larger share of areawages. Over the past dozen or so years, resources and mining has gone from supplying onein every 14 payroll dollars to one in every 10. Houstonians have become more dependent on1For example, over the past three decades, the Houston metro area has included six, eight, nine and 10 counties. For large coun-ties such as Harris, detailed information is available for the energy industry. For smaller counties such as Austin, oil exploration islumped with mining and oil field equipment is lumped with manufacturing.ANNUAL WAGES & SALARIESHouston Metro Area ($ Billions)Year Metro TotalNaturalResourcesResources as% of Total’90 $45.076 $3,260 7.2’95 $58.528 $4.218 7.2’00 $88.986 $6.319 7.1’05 $108.250 $9.733 9.0’10 $139.215 $12.939 9.3’12* $117.970 $12.290 10.4* For the first nine months of the year only.Source: Quarterly Census of Employment and Wages
  3. 3. HOUSTON—THE ECONOMY AT A GLANCEJune 2013 ©2013, Greater Houston Partnership Page 3energy for their livelihoods, but that is a trend which began prior to the Great Recession andthe recent run-up in oil prices.There are signs the energy sector is beginning to cool.The North American drilling rig count peaked at 2,013in November ’11 and has trended downward since.West Texas Intermediate―the U.S. benchmark forlight, sweet crude―climbed above $100 a barrel in thespring of ’11 but has since trended downward. Reve-nues from the North American operations for the threelargest oil field service companies―Baker Hughes,Halliburton and Schlumberger―fell $865 million, or8.2 percent, in the first quarter of ’13 compared to thesame quarter in ’12. And energy industry employment,which was growing at adouble-digit annual ratethis time last year, now is rising at half that pace. Clearly, theenergy sector is entering a mature part of the business cycle,but several factors support continued long-term growth.First, the demand for natural gas continues to grow. The U.S.Energy Information Administration (EIA) forecasts electricpower and industrial consumption of natural gas to grow from6.8 trillion cubic feet (TCF) in ’11 to 7.8 TCF in ’25 as thesesectors switch from coal to clean burning natural gas.2TheEIA expects the United States to become a net exporter of nat-ural gas by the end of this decade, shipping as much as 3.6TCF overseas by ’40. The Federal Energy Regulatory Com-mission has already approved two export terminals on the GulfCoast, and another two dozen firms have applications pending. And the nation may be on thecusp of a manufacturing renaissance spurred by abundant, inexpensive natural gas. TheAmerican Chemistry Council has identified approximately 100 U.S. manufacturing projectsannounced or under construction, including 28 along the Texas Gulf Coast, specifically tiedto low cost natural gas.Second, the demand for liquid fuels continues to grow. The EIA expects world petroleumand liquids consumption to rise from 89 million barrels per day in ’13 to 111 to 118 millionbarrels per day in ’40. Houston-based companies will play a major role in finding and pro-ducing petroleum and liquids to supply that demand wherever the resources may be located.2The U.S. Energy Information Administration has recently released a detailed study of long-term energy supply and demand,Annual Energy Outlook 2013 with Projections to 2040. Find the study at http://www.eia.gov/forecasts/aeo/. The forecasts citedhere are based on EIA’s Reference Case, which is a ―business-as-usual‖ trend estimate given known technology and technologicaland demographic trends.North American Rig Count – monthly avg.Trough: 895 June ’09Recent Peak: 2,013 Nov ’11Current: 1,767 May ’13West Texas Intermediate - $/bblTrough: $39.50 Dec ’08Recent Peak: $110.82 April ’11Current: $95.16 May ‘13Henry Hub Natural Gas - $/mcfTrough: $1.94 April ’12Recent Peak: $5.78 Jan ’10Current: $3.98 May ’13Source: Baker Hughes, U.S. Energy InformationAdministrationEmployment Growth RatesOil and Gas ExtractionRecent Peak: 12.3% May ’12Current: 6.9% April ’13Oilfield ServicesRecent Peak: 21.5% Dec ’11Current: 7.2% April ’13Oilfield Equip ManufacturingRecent Peak: 16.6% June ’12Current: 8.1% April ’13Source: Texas Workforce Com-mission
  4. 4. HOUSTON—THE ECONOMY AT A GLANCEJune 2013 ©2013, Greater Houston Partnership Page 4Third, there’s nothing structurally wrong with Houston’s economy. Houston’s housing mar-ket is not overbuilt―witness the 3.4-month supply of inventory in the HAR’s Multiple List-ing Service. A six-month supply is considered a balanced market. If anything, Houstonneeds to build more housing. Nor is housing overpriced. The 2012 Council for Communityand Economic Research Cost of Living Index found home prices in Houston to be 14.6 per-cent below the nationwide average and 33.5 percent below the average for the 29 metroareas with more than 2 million residents. According to CBRE, the office vacancy rate stoodat 7.4 percent in the first quarter of ’13 and is expected to decline. The rate was 12.5 percentjust three years ago. In a market with 190 msf of completed office space, only 8.0 msf is un-der construction, with much of it pre-leased. And in recent years, Houston has transformedits image from a blue-collar cow town to an urbane and sophisticated city. In July ’12,Forbes ranked Houston as first among ―America’s Coolest Cities to Live.‖ In January ’13,The New York Times ranked Houston seventh in the world and first in the U.S. on its list of―Places to Go in 2013.‖ And in May ’13, Business Insider ranked Houston as ―The Best Cityin America.‖Granted, the region faces challenges with workforce development, transportation and qualityof life issues. The community—led by the Greater Houston Partnership—is taking steps toaddress those challenges. The pace of growth will eventually cool from 100,000 jobs peryear to a more sustainable 60,000-70,000 jobs per year. The region will still prosper. Waco-based economist Ray Perryman forecasts Houston’s gross regional product to more thandouble between now and ’40. The Partnership sees nothing on the horizon that would derailthat forecast.Employment Update — During the 12 months ending April ’13, the Houston-Sugar Land-Baytown Metro Area led the state in job growth, adding 111,200 net new jobs, a 4.2 percentincrease, according to Texas Workforce Commission estimates. Dallas-Fort Worth recordedthe second largest gain, adding 104,900 jobs, a 3.5 percent increase, and Austin netted thethird largest, adding 31,400, or 3.8 percent.7,20011,4009,5008,20013,1002,0009002,90014,00017,90014,6001,8007,700Source: Texas Workforce CommissionEmployment Change, April 12 - April 13, Metro Houston
  5. 5. HOUSTON—THE ECONOMY AT A GLANCEJune 2013 ©2013, Greater Houston Partnership Page 5With 23.7 percent of the state’s population, Houston accounted for 33.6 percent of the state’sannual job growth. If one adds the annual job growth for Texas’ 23 largest metro areas (ex-cluding Dallas-Fort Worth), the total would still fall 21,400 jobs short of Houston’s annualjob growth. Every sector of Houston’s economy experienced job growth since April ’12.Since the bottom of the recession, the Houston metro area has added 305,500 net new jobs,which is more than the current total employment of the El Paso metro area (286,700). Em-ployment is higher now than at any point in Houston’s history.PMI Update — The Houston Purchasing Managers Index (PMI), a short-term leading indi-cator for regional production, registered 58.4 in April ’13, down from 61.0 in March, accord-ing to the latest report from the Institute for Supply Management-Houston. For the first fourmonths of ’13, the PMI has averaged 59.9, slightly above the average of 59.4 over the sameperiod in ’12. The PMI has a possible range from zero to 100. Readings above the neutralpoint of 50 indicate likely growth in production over the next three to four months; readingsbelow 50 suggest contrac-tion. With the April read-ing, the PMI has heldabove 50 for 44 consecu-tive months.The PMI is derived frommonthly surveys of localpurchasing managersrepresenting various indus-tries such as manufactur-ing, healthcare, and energy.It’s based on eight compo-nents: sales, production,employment, purchases,prices paid, lead times,purchased inventory andfinished goods inventory.Brookings Pays a Visit — On May 15, Rice University and the Greater Houston Partner-ship hosted the Global Cities Initiative (GCI), a joint project of the Brookings Institution andJPMorgan Chase. Houston was one of five cities chosen to participate in this year’s GCI; theothers were Atlanta, Dallas, Denver, and Mexico City. The goal of the GCI is to create aninternational network of leaders from global cities that are intent on deepening global traderelationships and collaborating to compete more effectively.The forum discussed the importance of strengthening global trade and investment in orderfor Houston to leverage its position in the global market. Since the majority of markets that30354045505560657075Jan-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14Source: Institute for Supply Management-HoustonHouston Purchasing Managers Index50 = Neutral
  6. 6. HOUSTON—THE ECONOMY AT A GLANCEJune 2013 ©2013, Greater Houston Partnership Page 6are experiencing the fastest GDP growth are located outside the U.S., bolstering Houston’sworldwide exports of goods and services to these global metros is vital to the region’sgrowth.According to the Brookings analysis of ’10 trade data of the nation’s 100 largest metro areas,Houston ranked fourth among U.S. metros in export value, fourth in total export-supportedjobs, and 14th in the share of metro GDP attributed to exports. Brookings estimates that theHouston region exported $47.9 billion in ’103and that these exports supported 307,000jobs.4Approximately 14.0 percent of Houston’s GDP in ’10 was attributed to exports.―The locus of economicpower in the world isshifting,‖ said BruceKatz, Brookings vicepresident and co‐direc-tor of the MetropolitanPolicy Program. ―Therising metro performerstoday are in Asia andLatin America. Weneed to reorient oureconomy so more firmsin more sectors trade more goods and services seamlessly with the world. Metro areas likeHouston will be on the forefront of this nationwide effort.‖Participants in the GCI also discussed Houston’s workforce development issues. Brookingscalculated that the manufacturing, energy and health care sectors account for more than675,000 jobs, or about one quarter of Houston’s employment. Currently, more than 40 per-cent of workers in the energy and health care sectors have a bachelor’s degree or higher. On-ly 24 percent of workers in the manufacturing sector have a bachelor’s degree or higher.However, as manufacturing becomes more advanced and incumbent workers with decadesof on-the-job experience retire, Brookings anticipates that future demands in manufacturingwill require higher educational attainment levels.Additionally, Houston’s share of jobs in STEM-focused fields (Science, Technology, Engi-neering and Math) exceeds that of the nation. About a third of Houston’s jobs are in STEM-focused fields, whereas a quarter of U.S. jobs are STEM-focused. Although the Houston re-gion ranks fifth in population, it ranks 33rdin its share of STEM degrees. During the GCI fo-rum, several stakeholders convened to discuss Houston’s workforce development needs, and3Brookings defines ―export value‖ as the dollar value of exports produced within a metro area in 2010. In previous issues of Glance, ―exportvalue‖ is the total dollar value of exports shipped through the Houston-Galveston Customs District, including commodities produced in and outof the metro area.4Includes both direct export-production jobs and jobs supported by exports in firms that supply an exporting industry. Some portion of thesejobs lie in parts of the U.S. outside of the metro area producing the exports.Export Performance of Top 10 U.S. Metro Areas by Exports Value (2010)Rank MetroExports Value,(billions $)Export Sup-ported JobsExports Share ofMetro GDP (%)1 Los Angeles 79.8 540,700 10.92 New York 78.0 539,300 6.63 Chicago 53.9 376,100 10.94 Houston 47.9 307,000 14.05 Dallas 41.1 279,700 12.76 San Francisco 31.8 194,300 11.27 Seattle 29.0 188,400 13.78 Detroit 26.6 186,300 14.99 Philadelphia 26.6 174,100 8.510 Boston 26.4 196,000 8.9Source: Brookings Institute, Export Nation 2012: How U.S. Metropolitan Areas are Driving National Growth.
  7. 7. HOUSTON—THE ECONOMY AT A GLANCEJune 2013 ©2013, Greater Houston Partnership Page 7the Partnership announced its regional initiative to tackle major workforce preparedness is-sues in the region.Airport Update – For the first four months of ’13, the Houston Airport System (HAS)handled 16.01 million passengers, a 0.1 percent decrease from 16.03 million during thesame period in ’12. The decline reflects a 0.2 percent decrease in domestic traffic, from13.17 million through April ’12 to 13.14 million through April ’13. International traffic in-creased by 0.3 percent from 2.86 million through April ’12 to 2.87 million through April’13. HAS launched and announced new air service to several cities recently: Southwest Airlines began direct flights from Hobby Airport to Pittsburgh on April 14and announced that nonstop flights to Washington National Airport (DCA) will com-mence on August 4. Southwest won one of the coveted slots to fly into DCA and choseto allot it to Hobby since it is one of the largest airports located within DCA’s 1,250 mileperimeter that does not have nonstop flights to the airport. Spirit Airlines began nonstop flights from Bush Intercontinental to Los Angeles Interna-tional Airport on April 25. This was the sixth route added by Spirit since the airline en-tered the Houston market in September ’12. Frontier Airlines announced it will begin offering nonstop service between Hobby Air-port and Delaware’s New Castle Airport on July 2.Patrick Jankowski and Jenny Philipcontributed to this issue ofHouston: The Economy at a GlanceSTAY UP TO DATE!Are you a GHP Member? If so, log in to your account here and access archived issues of Glanceavailable only to members. You can also sign-up RSS feeds to receive Houston’s latest economicdata throughout the month.If you are a nonmember and would like to receive this electronic publication on the first working dayof each month, please email your request for Economy at a Glance to dmorrow@houston.org.Include your name, title and phone number and your company’s name and address. For informationabout joining the Greater Houston Partnership and gaining access to this powerful resource, callMember Services at 713-844-3683.The Key Economic Indicators table is updated whenever any data change — typically, 11 or sotimes per month. If you would like to receive these updates by e-mail, usually accompanied bycommentary, please email your request for Key Economic Indicators to dmorrow@houston.orgwith the same identifying information.You may request Glance and Indicators in the same email.
  8. 8. HOUSTON—THE ECONOMY AT A GLANCEJune 2013 ©2013, Greater Houston Partnership Page 8Houston Economic IndicatorsA Service of the Greater Houston PartnershipMost Year % Most Year %Month Recent Earlier Change Recent Earlier ChangeENERGYU.S. Active Rotary Rigs May 13 1,767 1,977 -10.6 1,759 * 1,982 * -11.3Spot Crude Oil Price ($/bbl, West Texas Intermediate) May 13 95.16 94.17 1.1 93.90 * 101.37 * -7.4Spot Natural Gas ($/MMBtu, Henry Hub) May 13 3.98 2.48 60.5 3.72 * 2.32 * 60.3UTILITIES AND PRODUCTIONHouston Purchasing Managers Index Apr 13 58.4 59.1 -1.2 59.9 * 59.4 * 0.8Nonresidential Electric Current Sales (Mwh, CNP Service Area) Apr 13 4,086,503 4,116,265 -0.7 15,651,778 15,752,112 -0.6CONSTRUCTIONTotal Building Contracts ($, Houston MSA) Apr 13 971,248,000 1,116,210,000 -13.0 3,555,601,000 3,593,966,000 -1.1Nonresidential Apr 13 267,759,000 508,058,000 -47.3 995,856,000 1,441,063,000 -30.9Residential Apr 13 703,489,000 608,152,000 15.7 2,559,745,000 2,152,903,000 18.9Building Permits ($, City of Houston) Apr 13 431,902,143 294,543,506 46.6 1,964,983,997 1,472,963,720 33.4Nonresidential Apr 13 261,606,266 176,696,050 48.1 1,341,635,037 1,000,542,702 34.1New Nonresidential Apr 13 81,865,214 32,078,975 155.2 699,702,742 334,781,107 109.0Nonresidential Additions/Alterations/Conversions Apr 13 179,741,052 144,617,075 24.3 641,932,295 665,761,595 -3.6Residential Apr 13 170,295,877 117,847,456 44.5 623,348,960 472,421,018 31.9New Residential Apr 13 150,355,422 93,318,688 61.1 553,398,825 394,439,990 40.3Residential Additions/Alterations/Conversions Apr 13 19,940,455 24,528,768 -18.7 69,950,135 77,981,028 -10.3Multiple Listing Service (MLS) ActivityClosings Apr 13 7,883 6,118 28.8 24,816 20,154 23.1Median Sales Price - SF Detached Apr 13 184,900 161,500 14.5 167,150 * 153,200 * 9.1Active Listings Apr 13 32,498 42,534 -23.6 33,024 * 42,199 * -21.7EMPLOYMENT (Houston-Sugar Land-Baytown MSA)Nonfarm Payroll Employment Apr 13 2,780,700 2,669,500 4.2 2,754,900 * 2,643,150 * 4.2Goods Producing (Natural Resources/Mining/Const/Mfg) Apr 13 541,800 513,700 5.5 537,400 0 508,225 * 5.7Service Providing Apr 13 2,238,900 2,155,800 3.9 2,217,500 0 2,134,925 * 3.9Unemployment Rate (%) - Not Seasonally AdjustedHouston-Sugar Land-Baytown MSA Apr 13 5.9 6.6 6.3 * 6.8 *Texas Apr 13 6.1 6.5 6.5 * 6.8 *U.S. Apr 13 7.1 7.7 7.8 * 8.1 *FOREIGN TRADE (Houston-Galveston Customs District)Port of Houston Authority Shipments (Short Tons) Apr 13 3,541,821 3,514,534 0.8 14,352,458 14,186,646 1.2Air Passengers (Houston Airport System) Apr 13 4,083,502 4,160,941 -1.9 16,010,271 16,032,407 -0.1Domestic Passengers Apr 13 3,360,661 3,432,713 -2.1 13,137,221 13,169,036 -0.2International Passengers Apr 13 722,841 728,228 -0.7 2,873,050 2,863,371 0.3Landings and Takeoffs Apr 13 71,628 72,462 -1.2 196,724 205,821 -4.4Air Freight (metric tons) Apr 13 36,441 36,713 -0.7 102,139 102,255 -0.1Enplaned Apr 13 19,029 18,952 0.4 52,669 52,878 -0.4Deplaned Apr 13 17,412 17,761 -2.0 49,470 49,377 0.2CONSUMERSNew Car and Truck Sales (Units, Houston MSA) Apr 13 28,351 31,174 -9.1 113,058 108,783 3.9Cars Apr 13 12,491 14,310 -12.7 49,405 48,318 2.2Trucks, SUVs and Commercials Apr 13 15,860 16,864 -6.0 63,653 60,465 5.3Total Retail Sales ($000,000, Houston MSA, NAICS Basis) 4Q12 30,682 30,792 -0.4 107,511 100,873 6.6Consumer Price Index for All Urban Consumers (82-84=100)Houston-Galveston-Brazoria CMSA Apr 13 207.506 206.088 0.7 205.982 * 204.488 * 0.7United States Apr 13 232.531 230.085 1.1 231.938 * 228.451 * 1.5Hotel Performance (Houston MSA)Occupancy (%) 4Q12 62.3 58.3 65.4 * 59.8 *Average Room Rate ($) 4Q12 94.08 89.38 5.3 94.23 * 90.57 * 4.0Revenue Per Available Room ($) 4Q12 58.65 52.10 12.6 61.66 * 54.16 * 13.8POSTINGS AND FORECLOSURESPostings (Harris County) Apr 13 1,309 2,920 -55.2 6,720 12,654 -46.9Foreclosures (Harris County) Apr 13 403 794 -49.2 1,901 3,565 -46.7YEAR-TO-DATE TOTAL orYTD AVERAGE*MONTHLY DATA
  9. 9. HOUSTON—THE ECONOMY AT A GLANCEJune 2013 ©2013, Greater Houston Partnership Page 9SourcesRig Count Baker Hughes IncorporatedSpot WTI, Spot Natural Gas U.S. Energy Information Admin.Houston Purchasing Managers National Association ofIndex Purchasing Management –Houston, Inc.Electricity CenterPoint EnergyBuilding Construction Contracts McGraw-Hill ConstructionCity of Houston Building Permits Building Permit Department, Cityof HoustonMLS Data Houston Association of RealtorsEmployment, Unemployment Texas Workforce CommissionPort Shipments Port of Houston AuthorityAviation Aviation Department, City ofHoustonCar and Truck Sales TexAuto Facts Report,InfoNation, Inc., Sugar Land TXRetail Sales Texas Comptroller’s OfficeConsumer Price Index U.S. Bureau of Labor StatisticsHotels PKF Consulting/Hospitality AssetAdvisors InternationalPostings, Foreclosures Foreclosure Information & ListingService
  10. 10. HOUSTON—THE ECONOMY AT A GLANCEJune 2013 ©2013, Greater Houston Partnership Page 10HOUSTON MSA NONFARM PAYROLL EMPLOYMENT (000)Change from % Change fromApr 13 Mar 13 Apr 12 Mar 13 Apr 12 Mar 13 Apr 12Total Nonfarm Payroll Jobs 2,780.7 2,762.3 2,669.5 18.4 111.2 0.7 4.2Total Private 2,403.8 2,385.3 2,300.3 18.5 103.5 0.8 4.5Goods Producing 541.8 538.3 513.7 3.5 28.1 0.7 5.5Service Providing 2,238.9 2,224.0 2,155.8 14.9 83.1 0.7 3.9Private Service Providing 1,862.0 1,847.0 1,786.6 15.0 75.4 0.8 4.2Mining and Logging 105.2 104.6 98.0 0.6 7.2 0.6 7.3Oil & Gas Extraction 56.0 55.9 52.4 0.1 3.6 0.2 6.9Support Activities for Mining 47.7 47.5 44.5 0.2 3.2 0.4 7.2Construction 186.9 183.1 175.5 3.8 11.4 2.1 6.5Manufacturing 249.7 250.6 240.2 -0.9 9.5 -0.4 4.0Durable Goods Manufacturing 169.9 170.8 161.7 -0.9 8.2 -0.5 5.1Nondurable Goods Manufacturing 79.8 79.8 78.5 0.0 1.3 0.0 1.7Wholesale Trade 150.6 149.6 142.4 1.0 8.2 0.7 5.8Retail Trade 283.5 280.0 270.4 3.5 13.1 1.3 4.8Transportation, Warehousing and Utilities 129.8 131.4 127.8 -1.6 2.0 -1.2 1.6Utilities 16.1 16.3 16.6 -0.2 -0.5 -1.2 -3.0Air Transportation 22.1 22.1 22.6 0.0 -0.5 0.0 -2.2Truck Transportation 24.4 24.3 23.4 0.1 1.0 0.4 4.3Pipeline Transportation 10.3 10.4 10.5 -0.1 -0.2 -1.0 -1.9Information 31.9 31.8 31.0 0.1 0.9 0.3 2.9Telecommunications 15.2 15.2 15.2 0.0 0.0 0.0 0.0Finance & Insurance 90.5 89.7 89.4 0.8 1.1 0.9 1.2Real Estate & Rental and Leasing 51.4 50.7 49.6 0.7 1.8 1.4 3.6Professional & Business Services 417.1 414.8 403.1 2.3 14.0 0.6 3.5Professional, Scientific & Technical Services 198.4 198.2 193.1 0.2 5.3 0.1 2.7Legal Services 23.9 23.9 23.3 0.0 0.6 0.0 2.6Accounting, Tax Preparation, Bookkeeping 21.3 21.8 22.2 -0.5 -0.9 -2.3 -4.1Architectural, Engineering & Related Services 69.6 68.5 64.2 1.1 5.4 1.6 8.4Computer Systems Design & Related Services 27.0 27.0 26.4 0.0 0.6 0.0 2.3Admin & Support/Waste Mgt & Remediation 195.4 193.4 187.5 2.0 7.9 1.0 4.2Administrative & Support Services 185.6 183.4 178.4 2.2 7.2 1.2 4.0Employment Services 76.7 74.8 70.3 1.9 6.4 2.5 9.1Educational Services 47.4 47.4 45.2 0.0 2.2 0.0 4.9Health Care & Social Assistance 294.8 293.8 279.1 1.0 15.7 0.3 5.6Arts, Entertainment & Recreation 27.8 27.6 27.2 0.2 0.6 0.7 2.2Accommodation & Food Services 241.0 234.9 227.0 6.1 14.0 2.6 6.2Other Services 96.2 95.3 94.4 0.9 1.8 0.9 1.9Government 376.9 377.0 369.2 -0.1 7.7 0.0 2.1Federal Government 27.5 27.4 27.3 0.1 0.2 0.4 0.7State Government 72.8 72.7 72.0 0.1 0.8 0.1 1.1State Government Educational Services 39.6 39.6 39.4 0.0 0.2 0.0 0.5Local Government 276.6 276.9 269.9 -0.3 6.7 -0.1 2.5Local Government Educational Services 195.4 195.5 189.6 -0.1 5.8 -0.1 3.1SOURCE: Texas Workforce Commission
  11. 11. HOUSTON—THE ECONOMY AT A GLANCEJune 2013 ©2013, Greater Houston Partnership Page 11Source: National Association for Purchasing Management - Houston, Inc.Source: Texas Workforce Commission303540455055606570Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14PURCHASING MANAGERS INDEXHOUSTON & U.S. 2004-2014HOUSTON U.S.-120-100-80-60-40-200204060801001201401601,9502,0002,0502,1002,1502,2002,2502,3002,3502,4002,4502,5002,5502,6002,6502,7002,7502,800Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-1412-MONTHCHANGE(000)NONFARMPAYROLLEMPLOYMENT(000)HOUSTON MSA EMPLOYMENT2004-201412-MONTH CHANGE JOBS
  12. 12. HOUSTON—THE ECONOMY AT A GLANCEJune 2013 ©2013, Greater Houston Partnership Page 12Source: Texas Workforce CommissionSource: Texas Workforce Commission1,6001,6501,7001,7501,8001,8501,9001,9502,0002,0502,1002,1502,2002,250430440450460470480490500510520530540550Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14SERVICE-PROVIDING(000)GOODS-PRODUCING(000) GOODS-PRODUCING AND SERVICE-PROVIDINGEMPLOYMENTHOUSTON MSA 2004-2014GOODS-PRODUCING JOBS SERVICE-PROVIDING JOBS01234567891011Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14PERCENTOFLABORFORCEUNEMPLOYMENT RATEHOUSTON & U.S. 2004-2014HOUSTON U.S.
  13. 13. HOUSTON—THE ECONOMY AT A GLANCEJune 2013 ©2013, Greater Houston Partnership Page 13Source: U.S. Energy Information AdministrationSource: U.S. Bureau of Labor Statistics0481216202428020406080100120140Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14HENRYHUBNATURALGAS($/MMBTU)WESTTEXASINTERMEDIATE($/BBL)SPOT MARKET ENERGY PRICES2004-2014WTI Monthly WTI 12-MO AVG GAS MONTHLY GAS 12-MO AVG-3%-2%-1%0%1%2%3%4%5%6%Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14INFLATION: 12-MONTH CHANGE2004-2014HOUSTON CPI-U U.S. CPI-U