As discussed in our preliminary report, nonfarm jobs in January posted a 58,100 gain in the preliminary estimate. While stronger than prior months, January only regained a portion of the ground lost due to the 231,800 downward adjustment in December coming from the annual revision process.

On a data note, the annual data revision process continues with this release and will continue with the February numbers to be released in two weeks. In addition, with this report, we are resuming the employment and unemployment estimates by legislative district.

Trade levels in general showed improvement as the California ports continued to recover some of the market share lost during the uncertainty generated during the extended labor negotiations.

California’s average energy rankings showed continued deterioration in the residential sector, while fuels and commercial electricity rates remained the highest among the contiguous states and DC. With no relief in sight, California’s energy policies are taking the state’s economy into a government-driven experiment that runs counter to its previous experience with economic growth.

Overall trade flows were largely stable compared to December 2022. Total trade flows through the state’s ports were off by only 0.2% in nominal terms. For the year as a whole, the nominal value of the trade flows was down from 2022, but up slightly compared to 2021 and substantially compared to pre-pandemic 2019.

California’s energy costs rankings showed deterioration in two categories, while fuel and commercial electricity costs remained the highest among the contiguous states and DC.