Utah’s Economy Steady as Consumer Sentiment Bounces Back

The Salt Lake Chamber, in partnership with the Kem C. Gardner Policy Institute at the University of Utah, has released its July 2023 Roadmap to Prosperity Economic Dashboard to provide insights to business leaders on Utah’s economy. This tool prioritizes key data on the state’s current economic outlook and actionable context for decision-makers.

“Utah’s economy remains steady despite high interest rates and repeated warnings of an impending recession,” said Derek Miller, president and CEO of the Salt Lake Chamber. “A strong job market and increasing wages continues to fuel consumption and increase consumer sentiment. In addition, the U.S. credit-rating downgrade signals the impact of high interest rates and the country’s long-term fiscal ability to meet obligations. Comparatively, Utah remains one of the highest-rated states for credit and business.”

Three essential insights from the July 2023 Roadmap to Prosperity Dashboard include:

• Inflation cools to 3%. Since peaking at 9.1% in June 2022, inflation has steadily declined in response to the Fed’s aggressive rate hikes, yet it remains higher than the Fed’s target rate.   
• Consumer sentiment takes a leap. Greater price stability and a robust labor market show signs of a resilient economy, boosting overall sentiment both statewide and nationally.   
• Utah’s labor force participation rates continues upward trend. Nationally, the labor force participation rate stagnated, yet in Utah it continues to grow due to a strong economy and increasing wages.  

The Dashboard is updated monthly, providing essential insights, tracking timely and leading measures, and sharing pertinent indicators. This provides leaders with critical and timely information to make informed decisions.  

“The latest dashboard shows good news as inflation tempers to lower levels,” said Natalie Gochnour, director of the University of Utah’s Kem C. Gardner Policy Institute. “Consumer sentiment has bounced back over the summer as Utahns feel more optimistic. New labor participation highs also bode well for our economy as more people join the workforce and upward mobility increases. Utah is currently in a stable growth pattern, which is expectant given our robust industry profile and strong economic fundamentals.”