Beige Book Survey Finds Economy

 

The latest report comes ahead of a Nov. 2 to 3 meeting of Federal policy makers, at which they are likely to approve new, unconventional efforts to stimulate growth.
Courtesy of Money and Risk

The economy is no longer decelerating but the pace of growth has remained tepid in recent weeks, according to a new Federal Reserve survey.

Federal Reserve's beige book, a compilation of anecdotal reports from businesses across the country, reported that national economic activity continued to rise, albeit at a modest pace from September through early October.

That conclusion contrasted with that of the previous beige book, released in early September, which reported widespread signs of deceleration compared with previous periods.

Still, the new survey gave little evidence that the job market is picking up, saying that hiring remained limited, with many firms reluctant to add to permanent payrolls given economic softness. For the landscape industry this means it could take a while for firms and companies to expand. They seem to be in a holding pattern.

The findings in the beige book - a weak labor market, modest growth and few signs of inflation - offer support for these new steps, which would include major new purchases of bonds to pump more money into the economy.

Manufacturing activity continued to expand across most of the country, with signs of strength in the export sector, semiconductors, high-tech equipment and automobile production, the beige book reported. But it noted that hiring at manufacturing firms remained sluggish.

– Courtesy of Washington Post