The health of Colorado's business economy, based on a monthly survey of supply managers in the state, surged in May, according to the Goss Business Conditions Index released Monday.

The overall index in Colorado climbed to a strong 62.8 from 58.2 in April.

An index value greater than 50 indicates economic expansion, while a value lower than 50 indicates contraction.

"New orders and production are growing faster than jobs in the manufacturing sector," said Ernie Goss, director of the Goss Institute of Economic Research.

"To accommodate this growth, manufacturers in the state are expanding the hourly work week for current employees much faster than jobs. On the other hand, businesses tied to the state's rapidly advancing construction industry continue to experience very healthy business conditions," Goss said.

The report showed that in Colorado, the index for new orders was 59.1; production or sales, 52.8; delivery time, 74.5; inventories, 72.7 and employment, 55.0.

In the mountain states region — defined as Colorado, Utah and Wyoming — the index advanced in May to 61.0 from 58.3 in April.

Goss said the index for the mountain states region continues to exceed the national index and "points to regional growth significantly exceeding that of the United States."



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