This book is produced roughly two weeks before the monetary policy meetings of the Federal Open Market Committee. On each occasion, a different Fed district bank compiles anecdotal evidence on economic conditions from each of the 12 Federal Reserve districts. Why Investors Care
Highlights
The Federal Reserve's Beige Book said the economy continues to expand and that inflation, despite high oil prices, is steady and perhaps easing. The report did note evidence of moderate wage pressures, a sensitive topic for the Fed which is right now raising rates in part to head off the risk of wage inflation. The report said demand for services is strong while the outlook for the manufacturing sector is upbeat, though factory hiring remains weak. Below is a summary:
"Economic activity continued to expand in all twelve districts; only New York said growth was slower. Overall prices pressures little changed despite substantial increases in energy costs and some building materials. Labor demand continued to increase although hiring in several districts was mixed. Demand for services, including tourism, increased, and most districts noted moderate to solid expansion in manufacturing activity. Commercial real estate improved, residential real estate remained strong with a few signs of cooling. Consumer spending increased and retailers' expectations largely positive."
| 2005 Release Schedule | ||||||||||||||||||
|
powered by
![[Econoday]](../../../../../../../../../images/logo.gif){kind=logo}