Panhandle economy showing signs for an economic slowdown

AMARILLO, Texas (KFDA) - The Federal Reserve Bank of Dallas released a report last week, showing signs of the state heading into an economic slowdown — and area economists say the Panhandle is following.

Reports show spending has slowed down since August.

“In the first seven months of the year, Texas grew at almost 6 percent annual rate, which is extremely rapid. It makes sense that we begin to see some kind of a slowdown, as the fed has been raising interest rates. We can see some evidence of economic slowdown in August,” said Amarillo National Banks Senior Investment Officer Matt Ramsey.

However, Ramsey said the Panhandle area is continuing to show a strong job market, which makes it hard for the government to slow the economy.

“Jobs are one of the key components to economic expansion. That those things should be very supportive of economic growth. In Amarillo as more jobs come in, folks are able to have that reassurance that they’ll be able to have a good solid work environment by which they go out while purchasing,” said Ramsey.

He said the areas job market is continuing to be strong, with many companies moving to Amarillo. One of those companies is Producer Owned Beef, which has created thousands of jobs.

Due to the areas strong job market, it will make it difficult to slow the economy.

“It is very strong right now, which makes it difficult for the fed because they’re trying to slow down the economy and typically they do that through the labor market, and this labor market is very strong,” said Ramsey.