Inflation is an Upward Trend in Arizona, Says Greater Phoenix Chamber Q2 Business Index

GREATER PHOENIX CHAMBER RELEASES Q2 ARIZONA BUSINESS INDEX

The Greater Phoenix Chamber recently released the Q2 Arizona Business Index™ (ABI™), powered by OH Predictive Insights (OHPI). The study measures and interprets the health of the Arizona economy from the perspective of the Arizona consumer.

“The news is as we expected with inflation continuing an upward trend in Arizona,” said Todd Sanders, president and CEO, Greater Phoenix Chamber. “We are pleased to see job satisfaction and job security holding steady. One could argue that perhaps the Great Resignation is over.”

Key Highlights on all categories are below:

Consumer Confidence

• Arizonans’ confidence remained relatively flat from Q1 to Q2, despite an uptick in April
• Consumer confidence is significantly higher for Millennials and Gen Z than for the Silent Generation/Boomers

Housing & Automobile Index

• The Housing Index hit a 7-month high in April (117.8 points)
• April’s 7-month high caused the quarterly Housing Index to increase by 0.31, despite hitting new lows in May (86.9) and June (76.7)
• Two-thirds of consumers agree that it is not a good time to purchase a new home
• Similar to the Housing Index, the Automobile Index is calming down, and purchase intent has hit a 12-month low
• In April of Q2, the Housing and Automobile Indices reached a peak for those who wanted to make a purchase, but saw a downtown at the close of Q2

Economic Optimism

• Economic optimism hit an all-time low in June with 81% of consumers expecting interest rates to rise

Job Satisfaction

• The Job Satisfaction Index remained about the same between Q1 and Q2 2022
• 77% of people say they are satisfied in their job and 82% feel secure in their job

“Arizona employers deserve a shout-out because Arizonans are feeling incredibly secure in their jobs and job satisfaction remains high,” said Mike Noble, OHPI’s Chief of Research.  “What is really interesting is the generational differences in purchase intent between the young and old – with the younger generations more bullish to spend compared to older generations.”