Growth Higher In All Regions Except New York, Federal Reserve Data Shows
The latest Federal Reserve Beige Book data shows that the US economy is continuing to grow. Reuters reports the data showed that the economy expanded in October and November. However, it also showed modest wage and price gains, a strong dollar that weighed on manufacturers, and tightening labor market conditions in seven of the twelve Federal Reserve districts. USA Today reports the Federal Reserve painted a picture of the economy that “was largely similar to its previous reports.” There was “moderate growth in a handful of Fed bank districts – Boston, Minneapolis and San Francisco – and slight or modest growth in many others, including Atlanta, Chicago, Dallas, Philadelphia and Kansas City.” In Richmond, activity was “mixed” and in New York, it was “flat.” The AP reports that a majority of districts reported higher retail sales – especially for clothing and furniture – which “helped to offset a slowdown in sales of new autos.” Some districts noted “a shift in purchases from new cars to used vehicles.” In addition to noting growth in sales, the AP points out that the Beige Book data showed that seven Federal Reserve districts “that the demand for workers was increasing, giving a boost job seekers.” Wage growth remained “modest” for the most part, although some districts had “scattered reports of rising wage pressures for select in-demand occupations.”
What This Means For Small Businesses
The latest Beige Book data is yet another indication that the general US economy may be improving. This is welcome news for small businesses seeking to alleviate uncertainty and plan future growth.
The Washington Post also covers the latest Beige Book data.
Note: this article is intended to keep small business owners up on the latest news. It does not necessarily represent the policy stances of NFIB.