July 16, 2026
WHAT: Rhode Island鈥檚 economic performance for May has offered some evidence supporting the possibility that the state鈥檚 recession is beginning to end, according to 溏心vlog免费B站 economist Leonard Lardaro. May鈥檚 Current Conditions Index value, at 50, improved over April鈥檚 42.
It was also the second time in the last three months that a monthly CCI showed 50, which is a neutral value鈥攁bove 50 is expansion and below is contraction.
Five of the CCI鈥檚 12 economic indicators improved in May relative to a year ago, and it was only the fifth time in the last 17 months that the CCI was at 50 or better. March鈥檚 CCI, originally at 42, was revised to 50 based on new data. However, despite May鈥檚 data containing a number of disappointments, Lardaro says there is some basis for optimism that Rhode Island鈥檚 economy is getting out of its recession.
Retail Sales, a critical economic indicator that has been a strength through almost the entire post-pandemic period, grew by 6.4% in May. Total Manufacturing Hours rose by a 鈥渉ealthy鈥� 6.7%, Lardaro says, sustaining its growth. Manufacturing Wage also grew by 1.1%鈥攖he second time in the last six months it has occurred.
New Claims, which is related to layoffs, dropped by a double-digit rate of 26.4%, its fifth improvement in the last seven months, Lardaro says. Benefits Exhaustion, which indicates long-term unemployment, decreased by 9.1%鈥攊mproving for the fourth time in the last five months.
Employment Service Jobs, a leading labor market indicator, fell by 1.4%, continuing its downward trend. U.S. Consumer Sentiment continued its consistent monthly declines, dropping by 13.6%, Lardaro says. Single-Unit Permits, related to new home construction, fell back after a two-month climb, dropping by 10.5% in May.
Government Employment also fell by 1.2%, attributed to declines in federal government employment, Lardaro says, while Private Service-Producing Employment, a proxy for service-sector employment, dropped in April by 0.6%.
HOW: Use attached information, including summary and charts prepared by Lardaro for news reports. He is available for broadcast and print interviews. Lardaro will be blogging about the new labor data during the coming weeks.
WHEN: July 16, 2026
FOR INFORMATION: Leonard Lardaro, office, 401-874-4128, home, 401-783-9563; James Bessette, 溏心vlog免费B站 Department of Communications and Marketing, 401-874-3520, james.bessette@uri.edu.
BACKGROUND: The Current Conditions Index, created by Lardaro, measures the strength of the present economic climate in Rhode Island by following the behavior of 12 indicators.