The latest Beige Book, released by the Federal Reserve on Wednesday, indicated that economic activity across most Districts in the United States remained "little hanged" in recent weeks. Only two Districts showed "modest growth."
"Inflation continued to moderate, with selling prices reportedly increasing at a slight or modest pace in most Districts," the report noted. In several regions, home prices showed a slight increase, whereas rental prices either remained stable or experienced a small decrease. "Employment increased slightly during this reporting period, with more than half of the Districts reporting slight or modest growth and the remaining Districts reporting little or no change."
Industry contacts across various sectors highlighted intensified pressures due to escalating insurance and healthcare expenses. There were mixed signals regarding consumer spending; some areas observed a shift toward purchasing more affordable alternatives. Moreover, most Districts showed a "declining" manufacturing activity. Contacts were somewhat more optimistic about the longer-term outlook, "despite elevated uncertainty."
