Highlights of the Fed’s Beige Book:
- Previous Beige Book also cited ‘modest to moderate’ pace of growth
- Residental real estate activity increased moderately in most districts
- Hiring held steady or increased modestly for most occupations and industries
- Prices increased slightly, price pressures remain subdued
- Consumer spending rose in most Fed districts
Demand for automobiles and housing-related goods were cited for the rise in consumer spending, something we highlighted earlier today. Overall, it fits with the sluggish but steady tone. One dark cloud on the horizon was lending with several districts reporting less-favorable conditions; most likely due to higher rates.
