National Economic News
The Labor Department reported that job growth slowed in May, registering the smallest gain in nearly two years of only 78,000 positions. Experts attributed the figures to high energy prices and companies reducing excess goods. (The Rocky Mountain News, June 4, 2005).
The U.S. dollar strengthened overseas, following the defeat of the European Union constitution in France and The Netherlands. (The Rocky Mountain News, June 4, 2005).
Consumer prices fell in May with their first decline in 10 months. The Federal Reserved issued a survey of business conditions that described the economy as expanding at a healthy pace in recent weeks. (The Denver Post, June 16, 2005).
Housing starts rose in May by 0.2 percent. Construction projects continued at a strong pace to meet demand fueled by low mortgage rates. (The Denver Post, June 17, 2005).
Yields from U.S. money-market mutual funds reached their highest point in nearly four years in June. (The Denver Post, June 23, 2005).
The Commerce Department announced that nationwide sales of new single-family homes rose by 2.1 percent in May. (The Rocky Mountain News, June 25, 2005).
Oil prices reached record highs in June, topping $60 per barrel. (The Denver Post, June 28, 2005).
Despite high oil prices, consumer confidence rose to a higher than expected level for the second month in a row in June. It is at a 3 year high. (The Denver Post, June 29, 2005).
At the end of June, the Federal Reserve Bank raised interest rates for the 9th time in a year, indicating that the U.S. economy is on track despite rising energy prices. (The Denver Post, July 1, 2005).
Regional Economic News
The Denver Metro area added 8,100 jobs in April, which was a 0.6 percent increase over March and a 2.2 percent increase compared with 2004. (The Denver Post, June. 15, 2005).
The median home price for single family homes in the Denver metro rose above $250,000 in June. Multi-family housing also hit record highs. The median price of a single family home sold in June is projected at $251,500 which is 3.5 percent higher than a year ago. The median price of a condo is $163,307 as compared to $155,000 last year. (The Denver Post, June 22, 2005).
Denver area foreclosures are on pace to top those over last year when there were 12,393. That was the highest since 1988. (The Denver Post, June 28, 2005).
According to a new report by the FDIC, rising home prices have much outpaced income increases in Colorado over the last ten years. (The Denver Post, June 29, 2005).
Unemployment rates in Denver and Boulder reached their lowest levels since the 2001 terrorist attacks. Statewide, Colorado's unemployment for May was 5.3 percent. (The Denver Post, June 30, 2005).
