The Economic Data Global Express (e-EDGE)

v.9 n.46      Released Nov. 14, 2005

Produced by the Los Angeles County Economic Development Corporation as a public service to the global community.

THIS WEEK'S HEADLINES:

- September International Trade -- National foreign trade data
- California Budget Update -- for the first four months of FY2006
- September Hotel Numbers Hot -- Local hotel occupancy & room rates
- Two New Regional Reports Released -- San Gabriel Valley & Greater Westside
- Announcements
- Quick Stats

SEPTEMBER INTERNATIONAL TRADE

     U.S. exports of goods and services fell in September and imports rose, combining to produce a record trade deficit of -$66.1 billion that month, up from August's -$64.1 billion shortfall and the previous record of -$60.4 billion set in February.  Almost all of the month's -$3.3 billion deterioration in goods exports was accounted for by (1) the machinists' strike at Boeing (civilian aircraft exports dropped by $2.4 billion over the month) and (2) reduced service through the Gulf Coast ports (exports of food and organic chemicals fell by -$780 million).  Total goods imports increased by $3.8 billion in September.  Imports of most commodity groups increased, except Automotive Vehicles, which fell by -$729 million over the month.
     Looking at geographical areas the biggest U.S. trade deficit was with China (-$20.1 billion), followed by Europe (-$12.0 billion), North America (-$11.7 billion), OPEC (-$9.1 billion) and "20 Latin American Republics" (-$8.8 billion).  All of these 2005 deficits were markedly higher than in September 2004, when the total monthly deficit was "only" -$56.5 billion.
     Exports from California were $9.58 billion in September, up by 2.0% from September 2004.  Year-to-date, California exports were $85.51 billion through September, which was 4.9% higher than the first nine-months of 2004.  California ranks #2 in these measures behind Texas, whose exports were $95.28 billion in September 2005.  (Nancy D. Sidhu)
PR: http://www.census.gov/indicator/www/ustrade.html

CALIFORNIA BUDGET UPDATE

     The State Controller just released results for the General Fund during the first four months of the State's 2005-2006 fiscal year (July through October).  In brief, total receipts increased by 11.9% to $25.0 billion, while total disbursements grew by 12.6% to $36.3 billion.  Thus, the General Fund deficit jumped by 16% to $11.0 billion compared with the first four months of fiscal 2004-2005.
     Some other interesting details from the Controller's report:  (1) Revenue from the big three tax sources--corporation, income and sales & use taxes--increased by $2.2 billion (+10.5%) over last year.  (2) On the spending side, local K-12 education received $11.9 billion, an increase of $885 million (+8.0%) over the previous fiscal year.  (3) Large increases in spending were also registered for the MediCal program (+$560,000) and for Corrections (+$322 million).  (4) Outlays for "Other Local Assistance" were up by $1.27 billion.  The latter figure includes a $1.1 billion payment to local governments for the motor vehicle license fee "backfill gap."  (5) Receipts are running 6.6% above the budget forecast, while disbursements are 1.0% below expectation.  (Nancy D. Sidhu)

SEPTEMBER HOTEL NUMBERS HOT

     The September PKF Consulting data on the local hotel industry was strong, with Los Angeles County red hot!  The County's occupancy rate for the month was 79.3% compared with 73.4% last year.  Nine areas in the County had occupancy rates at 80% or better, with West Hollywood setting the pace at 85.5%.  Better yet, the average daily room rate (ADR) in the County increased by 12.1% over the year to $125.85.  The month's growth leader in this measure was Hollywood with a 22.6% increase over the year.
     Orange County's September performance was also better but a bit more subdued, with the occupancy rate at 73.0% compared with 65.0% last year.  The ADR increased by 9.4% to $126.52.  The best performance was turned in by the Orange County Airport area with a 76.0% occupancy rate.
     San Diego County's September hotel occupancy rate was 77.4% compared with 72.0% last year.  The ADR rose by 7.9% to $145.01.  By area, the strongest performances were found in South Bay at 82.7% and Downtown at 80.8%.  Moreover, there are plans to develop another 1,000+ room hotel adjacent to the San Diego Convention Center (there are already two).  (Jack Kyser)



QUICK STATS:

* BLS: US export prices for 10/05: +0.6% (9/05: +0.8%)
* BLS: US import prices for 10/05: -0.4% (9/05: +2.3%)
* Cal Assn. of Realtors: Housing Affordability Index for California for 9/05: 15% (9/04: 19%)
* Cal Assn. of Realtors: Housing Affordability Index for LA County for 9/05: 13% (9/04: 17%)
* Census: US wholesale trade for 9/05: +2.4% (8/05: +1.8%)
* Census: US wholesale inventories for 9/05: +0.6% (8/05: +0.5%)
* Census: US exports for 9/05: -2.6% (8/05: +1.5%)
* Census: US imports for 9/05: +2.4% (8/05: +1.8%)
* Census: US merchandise trade deficit for 9/05: US$66.1 billion (8/05: $59.3bil.)
* Univ. of Michigan: US Consumer Sentiment Survey for 11/05: 79.9 (10/05: 74.2)


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