22 cities in danger of a double-dip recession

map_recession_cities2.gif By Hibah Yousuf, staff reporter


NEW YORK (CNNMoney.com) -- The chance of a national double-dip recession is hotly debated amid an increasing number of signs that the economic recovery is losing pace, but the risk is particularly troublesome on a local level.

A new report from Moody's Economy.com singled out 22 cities that are at risk of slipping back into a recession in as early as three months. To come to this conclusion, the economists considered dwindling progress in employment, housing starts, home prices and industrial production. (See the map above for the full list.)

The at-risk cities are spread across the country, though more than half of the cities are in the South, and five are concentrated in the Midwest.

"With chances of a national double-dip recession now estimated at about one in four, several metro areas will probably experience their own downturns in the first half of 2011," said economist Andrew Gledhill, author of the report.

Private sector hiring has been tapering off in recent months compared to the start of the year, triggering Moody's to boost its forecast for a national double-dip from a 20% chance to 25% chance.

In the 22 identified metro areas, Gledhill said private sector hiring is particularly sluggish, increasing the chances of a slowdown.

Without a substantial pick-up in hiring, Gledhill said the number of cities in danger of a double-dip recession could grow, possibly reaching the triple-digits.

"There was a time when all 384 metro areas were in a recession. We probably won't get to that point again, but given the growing risk of another national recession, we're on the lookout for more metro areas that will be weakening substantially on several levels over the next six months to a year," Gledhill said.

He added that a handful of metro areas, particularly those that are industrial economies, are also suffering from a recent falloff in manufacturing.  To top of page

Frontline troops push for solar energy
The U.S. Marines are testing renewable energy technologies like solar to reduce costs and casualties associated with fossil fuels. Play
25 Best Places to find rich singles
Looking for Mr. or Ms. Moneybags? Hunt down the perfect mate in these wealthy cities, which are brimming with unattached professionals. More
Fun festivals: Twins to mustard to pirates!
You'll see double in Twinsburg, Ohio, and Ketchup lovers should beware in Middleton, WI. Here's some of the best and strangest town festivals. Play
Index Last Change % Change
Dow 17,623.50 266.63 1.54%
Nasdaq 4,715.00 70.69 1.52%
S&P 500 2,043.24 30.35 1.51%
Treasuries 2.21 0.06 2.84%
Data as of 12:29pm ET
Company Price Change % Change
Bank of America Corp... 17.42 0.15 0.90%
Apple Inc 111.27 1.86 1.70%
Oracle Corp 44.59 3.43 8.33%
General Electric Co 24.94 0.51 2.09%
Halliburton Co 39.10 -0.34 -0.86%
Data as of 12:14pm ET

Sections

Sony may have pulled its controversial film 'The Interview', but North Korean citizens may soon have copies dropping from the sky. More

Reddit's Alexis Ohanian has been vocal about the need for high-skilled visa reform. At stake? The country's position as a tech leader. More

Payday lenders are spending millions of dollars in Washington in an attempt to get powerful politicians on their side as a government crackdown on the industry heats up. More

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer.

Morningstar: © 2014 Morningstar, Inc. All Rights Reserved.

Factset: FactSet Research Systems Inc. 2014. All rights reserved.

Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved.

Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor’s Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2014 and/or its affiliates.