BETTENDORF, IOWA (September 22, 2023) — The Quad Cities Chamber has released the 2023 Q2 Market Report for the Quad Cities region. The report provides trends and data to help inform companies doing business within the region. Each report provides an economic analysis for the quarter by Dr. Bill Polley, Director of Business Intelligence for the Chamber.
The Q2 2023 Quarterly Market highlights how the Quad Cities regional economy fared compared to the national average from March to June. Key takeaways are:
- Real GDP grew 2.1 percent in the second quarter of 2023. While this is slightly below long-term trends, it is consistent with an economy that continues to recover from supply disruptions and adjust to rising interest rates. However, recent forecasts indicate an improvement may be on the horizon. A "soft landing" in which inflation returns to its desired level without a recession is still a possibility, though not assured. Both Iowa and Illinois are performing better economically than the national average according to a closely watched state-level index.
- Inflation has improved, though the rate of improvement has slowed in the second quarter. Core inflation remains stubbornly high. The Quad Cities continue to have slightly lower inflation than the US average.
- The labor market continues to be resilient in the face of interest rate increases. Though unemployment has ticked up slightly, it remains below average and nowhere near recession levels. Locally, job growth remains positive and approaching pre-pandemic levels. This has put some upward pressure on some wages, especially in counties with lower unemployment rates, though most wages remain competitive compared to national averages.
- There are some areas of concern for the remainder of 2023. Economic weakness in China, the resumption of student loan payments, and the possibility of a government shut-down if a budget deal is not reached, are chief among economic concerns. Even so, there are good reasons for optimism that a soft landing may be achieved and economic growth can return to the long-run trend.
The Q2 Market Report is available on the Chamber’s website and includes:
