2024-07-21 19:07:00
Economic activity in most regions of the United States continued to grow at a weak or moderate pace from late May to early July, according to a regional survey released Wednesday by the Federal Reserve System (FRS), which is called the Beige Book after the color of its cover, Day.Az reports, citing Interfax.
Seven of the twelve counties saw activity strengthen, while five counties (three more than in the previous survey) reported the economy remained the same or worsened.
Consumer spending was little changed in the reporting period. Some counties saw a decline in auto sales due to cyberattacks on dealerships and high auto loan rates. Most regions saw weak demand for consumer and business loans.
Meanwhile, activity in the tourism sector grew steadily and generally met seasonal expectations. The situation in the residential and commercial real estate sector changed little. In agriculture, conditions were uneven across the country and depended on droughts in certain regions.
“Respondents generally expected economic growth to slow in the next six months amid uncertainty surrounding the presidential election, domestic politics, geopolitical conflicts and inflation,” the survey says.
Employment overall was weak across the country, the report said. Manufacturing employment declined in some counties due to a decline in new orders, and the country struggled to find skilled workers.
Wages are growing at a moderate to moderate pace overall, although the rate of wage growth has begun to slow in some districts.
During the reporting period, prices increased moderately, with respondents in a couple of counties describing the pace as weak. In almost all U.S. regions, retailers offered discounts, and shoppers preferred to buy fewer items, giving preference to the most necessary purchases. In most counties, manufacturers noted stabilization of commodity prices.
The Beige Book survey is compiled from surveys of twelve Federal Reserve banks and is traditionally published approximately two weeks before the Federal Reserve meeting. The information used in this report was collected through July 8 and processed by the Richmond Fed.
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